The presidency has announced that President Muhammadu Buhari has signed the instrument of accession agreement for Nigeria for the establishment of the African Trade Insurance Agency (ATI).
The insurance agency was launched in 2001 to provide risk solutions for investors and has grown to become a market leader for risk mitigation in Africa. Nigeria’s joining is expected to provide the country with necessary insurance financing to increase investment inflows.
You might be interested in Top 5 Accounting Apps for Small Businesses
ATI, which also attracts funding from the African Development Bank and World Bank, added credit insurance to its portfolio in 2006 after members identified global trade as a major pillar of growth in the continent.
A memorandum from the Attorney General and Minister of Justice, Abubakar Malami, stated that the request for the President’s signature on the agreement was sequel to the directive of the Federal Executive Council, that the instrument be prepared and forwarded for execution.
The ratification was adopted at Grand Bay in the Republic of Mauritius on the 18th of May, 2000. The object and purpose of the Agency is to provide, facilitate, encourage and otherwise develop the provision of, or the support for, insurance, including coinsurance and reinsurance, guarantees, and other financial instruments and services. For the purposes of trade, investment and other productive activities in African States to supplement those that may be offered by the public or private sector, or in cooperation with the public or private sector.
Operators in the insurance industry have expressed optimism that the agreement for the establishment of the African Trade Insurance Agency, ATI, by President Muhammadu Buhari will have a multiplier effect on the sector, even as it will enhance the local market in Africa.
President of the Chartered Insurance Institute of Nigeria (CIIN), Sir Muftau Oyegunle stated that the government under the leadership of President Muhammadu Buhari had demonstrated first-hand its commitment to the growth of the insurance industry in Nigeria.
Oyegunle said: “ATI is a Pan-African institution that provides political risk insurance to companies, investors, and lenders interested in doing business in Africa. “Its deep African roots have positioned the organization to understand and assess the risks synonymous with the region and to help mitigate them.
“Its reputation, as well as its credibility, financial strength, underwriting capacity, its robust risk solutions and risk assessment, have ensured that it is credibly rated by clients.”
Join our thriving community on Facebook.