The African Reinsurance Corporation (Africa Re), the premier and pan-African reinsurance company in Africa, has crossed the $1 billion revenue milestone for 2023.
Announcing the result at its 46th Annual Ordinary Meeting and General Assembly held in Kampala, Republic of Uganda, Mohamed A. Maait providing an overview of the corporation’s performance in 2023 said it was encouraging, and observed significant improvements in key performance indicators over the last 12 months.
He stated that “2023 was a remarkable year for the Corporation as it crossed the psychological milestone of $ 1 billion in turnover, posting a gross written premium of $ 1.106 billion, translating into a growth of 16.25 percent over the $951.79 million achieved in 2022.”
Consequently, this has helped the corporation to achieve a record net income of $126.95 million from its underwriting result and investment income which was also at its highest return”.
Maait also noted with satisfaction the reaffirmation of Africa Re’s financial strength and credit ratings at “A-“and “A” by Standard & Poor’s and A.M. Best respectively in 2023.
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He emphasized the originality of Africa Re’s mission buttressing the fact that: “We remain resolute in our commitment to the Ugandan market and the continent at large as we continue to deploy A (Excellent) rated underwriting reinsurance capacity to the insurance markets and to contribute significantly to the socio-economic development of the African continent.
Maait also said that Africa Re has risen to the occasion in times of financial stress around the African continent through prompt payment of claims, investment in the local economies, and reducing foreign exchange pressures in the local economy by writing business in local currencies, a privilege that is not provided by international players.“
The meeting also approved the need to strengthen the Corporation’s financial base, whilst ensuring returns on shareholders’ investment.
They, therefore, agreed that the 2023 net profit of $ 126.9 million be distributed as follows $ 63.5 million to the general reserves; one million dollars to be transferred to the reserve for loss fluctuation; $1.26 million to be transferred to the Africa Re Foundation as one percent of the net profit for the year; and $28.7 million to be paid as dividend at the rate of $ 10.0 per subscriber.
