The President of the African Insurance Organization (AIO), Mr. Tope Smart, announced the official incorporation of the integration of the insurance sector into the African Continental Free Trade Area (AfCFTA).
Smart, who is also Managing Director of NEM Insurance plc, announced this at the recent 25th African Reinsurance Forum held in Kigali, Rwanda.
In explaining the decision of the regional insurance body in this direction, Smart said: âAfter careful consideration, the AIO secretariat has deemed it wise to integrate the integration of insurance into this agreement. . This is why during this 25th African Reinsurance Forum, the discussions will revolve around the theme Integration of Insurance in the Context of the African Continental Free Trade Area.
He said the African Insurance Organization was happy to return to the birthplace of the African Continental Free Trade Area, Kigali, to consider not only how the insurance sector could best fit into the AfCFTA, but also to provide a good place for the cream of the crop. the African insurance industry to reflect on the way forward.
“Through this event, the AIO further wishes to highlight the contribution of the African insurance industry to the realization of this noble idea, the benefits of which for the entire African continent cannot be underestimated”, did he declare.
He said the AfCFTA deal would create the world’s largest free trade area measured by the number of participating countries.
âThe pact connects 1.3 billion people in 55 countries with a combined gross domestic product (GDP) valued at $ 3.4 trillion according to the African Union. It has the potential to lift 30 million people out of extreme poverty, but realizing its full potential will depend on putting in place significant policy reforms and trade facilitation measures, âhe said.
He stated concretely that the AfCFTA emphasizes the duplication of tariff and non-tariff barriers, and the facilitation of the free movement of people and labor, capital, the right of residence, the right of establishment and investment.
Smart, during the forum, implored reinsurers to view the 25th Reinsurance Forum as a golden opportunity to examine some of the inherent challenges facing the African insurance industry and provide sustainable solutions.
He further urged reinsurers to take advantage of the event and do an objective dissection of the theme of the event, which is the integration of insurance in the context of the African Continental Free Trade Area.
According to him, one of the instruments to ensure a healthy, resilient and robust economy for Africa was undoubtedly the AfCFTA, as he explained that after careful consideration, the IOA Secretariat considered wise integrate the integration of insurance into the agreement.
Smart noted that through the event, the AIO further wished to highlight the contribution of the African insurance industry to the realization of this noble idea, the benefits of which for the entire African continent cannot be overestimated.