Accra, Ghana, June 18, 2023 – The African Export-Import Bank (Afreximbank) today launched its wholly owned subsidiary Insurance Management Company (AfrexInsure) in Accra, Ghana. AfrexInsure was established to facilitate access to specialty insurance solutions for trade and trade-related investments across Africa.
The launch of AfrexInsure was announced, Sunday, by Afreximbank Executive Vice President for Intra-African Trade, Kanayo Awani, at the 30th Afreximbank Annual Meeting in Accra.
Mrs Awani said that the launch of AfrexInsure was a demonstration of the Bank’s unrelenting commitment to provide more financial and risk management solutions to address the persistent trade finance and trade-related investment gap on the continent.
“AfrexInsure will provide a range of insurance solutions to African businesses, including all-risk construction insurance, political risk insurance, and trade credit insurance,” said Mrs. Awani. “These solutions will help to mitigate risks and encourage trade and investment on the continent.”
Mrs. Awani also said that AfrexInsure was committed to working with African businesses to help them grow and expand their operations. “We are here to support African businesses,” said Mrs Awani. “We want to help them overcome the challenges they face and achieve their goals.”
The launch of AfrexInsure was welcomed by African business leaders. “This is a welcome development,” said Mr. Aliko Dangote, founder and CEO of the Dangote Group, the largest industrial conglomerate in West Africa.
“AfrexInsure will help to fill a gap in the market and make it easier for African businesses to access insurance.”
AfrexInsure is expected to play a significant role in supporting the growth of trade and investment on the continent that is now pushing for more intra-Africa trade through the Continental Free Trade Area.
“It is widely recognized that African economies need to create a more robust economy by diversifying their export baskets and export markets, with a greater focus on intra-African trade.”
She added that this has become even more urgent in the wake of the Covid-19 pandemic and Russia-Ukraine crisis which have threatened to reverse the impressive growth the continent has achieved in recent decades.
“The ambition of creating an integrated African market under the AfCFTA will help dismantle a number of barriers to intra-Africa trade, such as tariffs and non-tariff barriers,” she said.
“However, a continued binding constraint limiting the expansion of African trade is the continued reliance on external partners and inadequacies of the continental financial architecture to drive economic resilience and development.”
Afreximbank has been active in Rwanda since 2001, providing financing and technical assistance to support the country’s economic development.
Earlier in March 2023, The AfCFTA Secretariat and African Export-Import Bank (Afreximbank), announced that Rwanda will be the host Country for the AfCFTA Adjustment Fund, billed at $19 billion.with the Republic of Rwanda.
The $10 billion is expected to act as a critical instrument in the realization of the African Continental Free Trade Area by helping countries to implement agreed protocols and support African companies to retool for effective participation in the new trading regime.
