ATI advances $200 million insurance support to Zimbabwe
Insurance24
HARARE, Finance Minister Ignatius Chombo says Zimbabwe as a member to the African Trade Insurance (ATI has received insurance support worth $200 million advanced to various projects in the financial, energy and mining sectors.
Last night the ATI launched in Zimbabwe, though the operations are covered from a regional office in Zambia.
“Zimbabwe has already started benefiting from ATI membership with insurance support worth over $200 mln advanced to projects in the financial, energy and mining sectors,” Chombo said.
The ATI was founded in 2001 and is based in Nairobi, Kenya. It was established under an International Treaty by African Member States at the initiative of the Common Market for Eastern and Southern Africa and with the technical and financial support from the World Bank.
Its mandate is to provide medium- to long-term credit as well as increase its provision of trade, credit and political risk insurance products that encourage foreign direct investment and trade in Africa. In addition to Zimbabwe, countries that are already members to the ATI include: Benin, Malawi, Burundi, Rwanda, Democratic Republic of Congo, Tanzania, Kenya, Uganda, Madagascar and Zambia.
Other members of the insurance agency include AfDB, COMESA, African Reinsurance Corporation and the Eastern and Southern African Trade and Development Bank (PTA Bank), the PTA Re Insurance Company (Zep Re), among others.
According to Chombo, the presence of ATI in Zimbabwe will help to increase trade between African countries in particular Zimbabwe and the international community, offering trade credit insurance products.
He also said other benefits from the ATI membership include Sovereign risk guarantee, Political risk insurance, Terrorism risk insurance and Reinsurance and co-insurance. Currently, Zimbabwe is covered from a regional office in Zambia.
