The National Insurance Commission (NAICOM) has signed a Memorandum of
Understanding (MoU) with some Anglophone countries to strengthen cross
border insurance supervision in West African countries.
The Commissioner for Insurance, NAICOM, Mr Mohammed Kari, at the
signing on Thursday in Abuja, said the insurance supervision would be
strengthened through information sharing and mutual cooperation. Kari
further said it was in conformity with the International Association of
Insurance Supervision (IAIS) principles.
The collaborating countries are the National Insurance Commission,
Ghana; Central Bank of Liberia, Sierra-Leon Insurance Commission, the
Central Bank of Gambia and NAICOM.
According to Kari, the MoU underlines NAICOM’s goal to build
effective working relationships with regulators in the West African
region and beyond.
He expressed optimism that the collaboration would greatly enhance
the cross-border supervision among the member countries. He said,
Insurance in the whole of Africa has been characterised by low
penetration and poor contribution to the African financial growth in
Therefore, maintaining efficient, fair, safe and stable insurance
market in the West African region must be promoted for the benefit of
the policy holders.
The MoU will help us to effectively communicate with each other in
addressing such fraud across jurisdictions in compliance with Financial
Action Task Force recommendation on Anti-Money Laundering.
We look forward to our mutual assistance in the promotion of
international standards to foster favourable investment environment and
orderly markets in West Africa,’’ Kari said.
Also, the Permanent Secretary, Federal Ministry of Finance, Mrs
Anastasia Daniel-Nwaobia, stressed the need for continued collaboration,
to achieve more stable international economic and financial system.
It is heartening to see that the West African Insurance Regulators
have recognised the need to come together to examine possible ways to
collaborate and develop harmonised regulatory standards.
The West African Insurance Supervisors Association is therefore
vital, because of our rapidly integrating insurance industry and the
growing practice of our insurance companies operating across regional
and international boundaries.’’
Daniel- Nwaobia, who was represented by the Director, Home Finance in
the ministry, MrKalliZaji, assured the member countries of Nigeria’s
support toward achieving the set objectives.
Miss Lydia Bawa, Commissioner of Insurance, Ghana, said that the
member countries must all strive to ensure that the objectives set out
in the collaboration were achieved.
She said the timely provision of the information on the financial
position, compliance with the rules on solvency, risk concentration and
intra-group transactions among other things, would facilitate group-wide
Individually all regulatory authorities will save time and cost and
avoid duplication of efforts in achieving our respective supervisory
goals, thereby channeling resources to other areas.
Bawa said that the Gambia and Liberia had not gained autonomy from
their respective central banks and called on the countries to use the
opportunity provided by the MoU to be independent of their central
We believe that when this autonomy is granted, it will lead to an
effective execution of their supervisory mandates,’’ she said. She urged
the members to be mindful of their individual and collective
weaknesses, to offer the necessary assistance required to achieve the
The Commissioner of Insurance, Sierra-Leone, Mr Augustus Kanu, in his
address, expressed joy at the collaboration and assured of his
country’s commitment towards achieving the set objectives. He commended
the efforts by NAICOM towards ensuring the growth and development of the
insurance industry in Seirra-Leone.