AU extends insurance to agriculture and green energy sectors

Par :| Key words : UA-insurance-development

French.china.org.cn | Updated on 29-06-2022
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The African Risk Capacity (ARC), a specialized agency of the African Union (AU), announced on Tuesday that it would extend insurance coverage to the continent’s agriculture and green energy sectors.

Lesley Ndlovu, CEO of ARC, told a continental forum in Kenya’s capital, Nairobi, that his institution would offer insurance to cover farmers’ losses against weather-related commons of drought, floods and tropical cyclones.

“We are insuring staple crops such as wheat and maize, cash crops including cocoa and livestock products to enhance food security in Africa,” Ndlovu said at the 48th Conference. African Insurance Organization.

Currently, 35 AU member countries have joined the African Risk Capacity.

This insurance coverage aims to provide people affected by natural disasters with the financial means to rebuild after a disaster, said Mr. Ndlovu.

“Our role is to complement the efforts of the government which is the biggest investor in the agricultural sector through different subsidy programs, but also to protect the most vulnerable communities,” he observed.

This pan-African organization provides insurance coverage to agricultural producers through governments, humanitarian agencies, but also directly to farmers through local partners.

Mr. Ndlovu revealed that his agency would provide insurance coverage to increase access to renewable energy sources in Africa.

Africa’s power sector needs catalysts given the region’s huge power generation deficit, he said.

“We will work to strengthen the production of solar, wind and hydroelectric energy sources,” he added.