Cairo, 27 March 2023 – Afreximbank Insurance Management Company (AfrexInsure) – a wholly owned subsidiary of African Export-Import Bank (Afreximbank) – has completed its first insurance policy, facilitating the issuance of all-risk construction insurance cover to Oman Shapoorji Company (a Shapoorji Pallonji group company), in relation to the construction of the Afreximbank Africa Trade Center in Harare, Zimbabwe.
AfrexInsure, an insurance management services company forming part of Afreximbank Group, was established in late 2021 to facilitate access to specialty insurance solutions for trade and trade-related investments across Africa. The completion of this first transaction signals a successful start of its commercial operations and is a launching pad for the company’s business growth.
Commenting on this important milestone in AfrexInsure’s operations, Professor Benedict Oramah, President and Chairman of the Board of Directors of Afreximbank, observed that it is a clear demonstration that the business model of Afreximbank Group’s second subsidiary works.
“Afreximbank created AfrexInsure to facilitate the insurance of specialty risks to support businesses in our member countries. This transaction not only primes the pump, but also gives AfrexInsure momentum, while sending a strong signal of its commitment to support African businesses with their insurance needs and requirements. It also demonstrates to the community of Afreximbank insurance industry shareholders that Afreximbank will work with them in a mutually beneficial manner.
“It is well known that insurance penetration is relatively low in Africa compared to other regions. AfrexInsure will intensify efforts to address this need in Africa and its partner states in the Caribbean. We are therefore delighted to have successfully issued the first insurance policy; proud to have taken these first steps and look forward to the growth of this business as we provide essential support to Afreximbank member countries in their trade and trade-related investments,” said Prof Oramah.
Building on Afreximbank’s Africa-wide presence, its network of shareholders from the African insurance industry, and deep understanding of the African market, AfrexInsure offers specialty insurance solutions tailored for trade and trade-related investments in Africa, covering, among others, cargo, construction, operations and energy risks.
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African Export-Import Bank (Afreximbank) is a Pan-African multilateral financial institution mandated to finance and promote intra-and extra-African trade. Afreximbank deploys innovative structures to deliver financing solutions that support the transformation of the structure of Africa’s trade, accelerating industrialization and intra-regional trade, thereby boosting economic expansion in Africa. A stalwart supporter of the African Continental Free Trade Agreement (AfCFTA), Afreximbank has launched a Pan-African Payment and Settlement System (PAPSS) that was adopted by the African Union (AU) as the payment and settlement platform to underpin the implementation of the AfCFTA. Afreximbank is working with the AU and the AfCFTA Secretariat to develop an Adjustment Facility to support countries in effectively participating in the AfCFTA. At the end of 2021, the Bank’s total assets and guarantees stood at about US$25 billion, and its shareholder funds amounted to US$4 billion. Afreximbank disbursed more than US$51 billion between 2016 and 2021. The Bank has ratings assigned by GCR (international scale) (A), Moody’s (Baa1), Japan Credit Rating Agency (JCR) (A-) and Fitch (BBB). The Bank is headquartered in Cairo, Egypt.
For more information, visit: www.afreximbank.com.