Osinbajo: Africa Has Prospect for Opportunities in Next 10 Years

● Says $450bn potential income gains at stake

Vice President Yemi Osinbajo has declared that the next 10 years offers great opportunities for Africa’s socio-economic transformation anchored on the African Continental Free Trade Area (AfCFTA).

This target, he said, is realisable despite the monumental challenges posed by climate change, particularly energy transition and related issues.

Osinbajo made this known Wednesday in a message delivered at the closing of the 2021 Conference of African Insurance Practitioners, themed “Rebuilding Africa’s Economy: An Insurance Perspective.”

Advising African insurance practitioners to leverage opportunities in the AfCFTA, the Vice President stressed that every smart economic grouping, whether governments or businesses, must be thinking, planning and strategizing for the projected new times.

He opined that “the free trade agreement presents a major opportunity for African countries. By some estimates, if we get it right, we can bring several millions out of extreme poverty and raise the incomes of 68 million others who live on less than $5.50 per day. There are potential income gains of up to $450 billion, and just cutting red tape and simplifying customs procedures alone could drive up to $250billion of that sum.

“So, what does all this mean for the insurance industry in Africa? Well, plenty of opportunities. More trade in goods will mean greater need for insurance services, brokers, in particular, should expect a boom; demand for trade facilitation services will rise, but obviously companies that already have market presence in other African countries, even if by collaboration, will benefit more than others.”