CFI, NAICOM, Olusegun Omosehin

Protocol
I regret to inform you that the Commissioner for Insurance, Mr. Olusegun Ayo Omosehin,
is unavoidably absent due to some unexpected official engagements. He extends his
sincere apologies for his absence and sends greetings to all participants.
Ladies and gentlemen, esteemed colleagues, and industry stakeholders, I welcome you to this crucial workshop themed ‘Unlocking Opportunities: AfCFTA and the Nigerian Insurance Industry.’ Today, we gather at a pivotal moment in our nation’s history and the insurance industry.
The African Continental Free Trade Area (AfCFTA) presents a transformative opportunity
for Nigeria and our insurance industry to expand into new markets, drive growth, and
create prosperity.
This workshop is a call to action, urging us to strategize, innovate, and collaborate to ensure competitiveness of the Nigerian insurance industry to enable it capitalize on AfCFTA’s
benefits. As we explore the opportunities presented by AfCFTA, let us acknowledge the
immense potential of Nigerian insurance industry. With the right strategy and
collaboration, we can unlock new markets, drive economic growth, and improve the lives
of Nigerians.
The AfCFTA is expected to create the largest free trade area in the world, boosting
economic growth, trade, investment, and economic integration. For the Nigerian
insurance industry, this is an opportunity to expand our horizons, continually innovate, and position ourselves for successful maximization of the benefits.
Permit me to again reiterate some of the opportunities presented by AfCFTA for Africa and Nigeria, particularly in the financial services sectors. By creating a single, unified market of over 1.3 billion people and a combined GDP of about $3trillion, we expect a boost in economic growth occasioned by increase in trade and foreign investment, among others.
Interestingly, the World Bank estimates that it could lift tens of millions of people out of
poverty by 2035.
In the financial services sector, AfCFTA, especially through Trade in Service, offers
opportunities for increased financial integration, innovation, and inclusion. With the free movement of goods, services, and people, African financial institutions can expand their operations across borders, increasing access to financial services and promoting economic
development. There is, however, the need for all stakeholders to remain positive by translating the commitments into actionable outcomes at the national and regional levels.

 

To achieve this, we must focus on the Schedule of Specific Commitments, particularly Cross Border Services Trade, Consumption Abroad, Commercial Presence, and Presence of Natural Persons. By removing trade barriers, we can develop cross-border insurance products, attract foreign investment, and promote economic development.
With the removal of trade barriers, insurance companies can develop and offer cross-
border insurance products, including coverage for businesses operating in multiple African
countries, which can enhance the attractiveness of Nigerian insurers to multinational
clients. This will also bring about increased investment as it is likely to attract foreign direct investment. This influx of capital can boost the insurance sector by providing the necessary funds for innovation, technology adoption, and capacity building in the industry.
We are also not oblivious of different regulatory environment across various African countries, creating complexities in compliance and operational standards. In this regard, we are committed to bilateral negotiations underpinned by Mutual Recognition
Agreement (based on principle of reciprocity) and Most Favoured Treatment (on National Treatment), among other considerations.
It is imperative to emphasize that the critical concern remains: our collective preparedness to capitalize on these prospects. As CEOs of insurance Companies and members of the
NIA, we must ponder whether we will relinquish our position as a continental leader,
allowing other nations to assume the mantle, or whether we will assert our dominance in Africa, harnessing our collective strengths to drive growth, innovation, and prosperity.
I must commend the NII Committee on AfCFTA and all arms of the industry for making today’s Workshop possible. Over the course of this workshop, we will share experiences and explore innovative solutions to the challenges and opportunities that lie ahead. I urge you all to actively participate, share your insights, and collaborate with one another to unlock the full potential of our industry.
As we move forward, let us recognize the importance of collaboration and mutual
recognition agreements. We must work together to address regulatory complexities and
ensure a level playing field.
In conclusion, I urge you all to actively participate in this workshop, share your insights,
and collaborate to unlock the full potential of our industry. Let us work together to create
a brighter future for our industry, nation, and people.

Thank you.
Olusegun Ayo Omosehin
Commissioner for Insurance/CEO