.ATI To Support Nigeria’s Economic Diversification Plans
OMOTAYO ARAOYE
Nigeria is to enjoy more trade and investment insurance following its membership of the African Trade Insurance Agency (ATI).
This is coming on the heels of the ratification of the ATI’s treaty by President Muhammadu Buhari.
ATI’s Chief Underwriting Officer, Benjamin Mugisha, said the body will work with the Federal Ministry of Finance, Central Bank of Nigeria and corporate traders to support Nigeria’s economic diversification plans and its post-COVID recover.
Mugisha stated that the ATI membership will provide Nigeria with additional trade and investment insurance capacity to cushion the negative economic impacts of COVID-19.
“Nigeria becomes a full member country at an opportune time.
“It joins ahead of others that are fast-tracking membership given the trade and investment insurance challenges during the COVID-19 pandemic and also recognizing the potential post pandemic opportunities,” he added.
The membership of ATI will allow Nigeria to attract additional insurance capacity to help attract investments.
In Nigeria, ATI has already provided significant support in the country’s oil and gas sector covering oil traders as well as in the financial sector insuring financial institutions
Nigeria contributed US$14.1 million to ATI’s capital in 2019 with African Development Bank’s financial support and fully completed its membership process through the ratification of the ATI’s Treaty.
The ATI has projected an estimated US$138 million in additional capital from prospective new shareholders in the coming months.
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