By Favour Nnabugwu
AFRICAN Trade Insurance (ATI) is currently discussing with Nigeria’s insurance industry and those of seven other nations on the need to be a part of the association as member countries. The seven other countries are: Ghana, South Sudan, Angola, Cameroon, Sudan, Djibouti and Sierra Leone.
ATI’s Chief Executive Officer, George Otieno, who noted that some of the discussions are in top gear with the countries, said, “We have opened talks with Nigeria, Ghana, South Sudan, Angola, Cameroon, Sudan, Djibouti and Sierra Leone. Some of the talks are at an advanced stage. For example, we expect to complete negotiations with South Sudan by end of the year.
We are increasingly viewed as a strategic partner in Africa, helping investors and our member countries attract vital foreign investments.” Otieno said this was after Ethiopia and Zimbabwe joined the pan-African investment and commercial risk insurance provider last year, while Ivory Coast came on board last month. Other member-state shareholders are Tanzania, Uganda, Rwanda, DRC, Burundi, Malawi, Zambia, Madagascar and Benin. Minimum capital in the 13 state-shareholder insurer is $7.5 million.
ATI’s net profit for 12 months through December 2016 increased to $6.4 million, as against $4.7 million in 2015, marking the sixth consecutive year of profit following a loss in 2011. “Our impact is being felt and this is reflected in statistics that indicate we are insuring investments equivalent to approximately one per cent of our member country’s GDP every year,” Otieno said.
Kenya’s shareholding in African Trade Insurance Agency has been marginally diluted following entry of four new investors, the largely political risk and investment guarantee firm has said.