Organization:African Trade Insurance Agency
 | |
| Formation | 2001 |
|---|---|
| Type | Treaty |
| Purpose | Mitigation of political, investment and commercial risks in Africa |
| Headquarters | Kenya Re Towers, 5th Floor, Upperhill, Nairobi, Kenya |
Region | Africa |
| Products | Investment Risk Insurance
Political Risk Insurance Trade Credit Insurance Performance Bonds |
Membership | 18 African Countries
1 Non-African Country 10 Institutional Investors |
Official language | English & French |
Key people | Manuel Moses, CEO
Benjamin Mugisha, CUO Deepak Dave, CRO |
| Website | https://www.ati-aca.org |
The African Trade Insurance Agency, also known as ATI, was established in 2001[1] by seven COMESA countries and with the technical and financial backing of The World Bank to provide insurance against political and commercial risks in order to attract foreign direct investments (FDI) into the region. ATI is Africa's only multilateral investment and credit insurer and as of 31 December 2019 it had supported trade and investments into Africa valued at over US$62 billion [2] since inception and for H1 2020, ATI recorded US$6.5 billion in Gross Exposures and US$390.8 million in equity.[3]
History
ATI was created in 2001 to help drive much needed investment insurance capacity to Africa in order to support higher levels of foreign direct investments.[1] Seven COMESA countries obtained a grant from the World Bank to conduct a study to look at factors contributing the low levels of FDI to their countries. The study revealed political risk to be the main constraint and the primary concern of prospective investors. The study expanded into a World Bank project (The Regional Trade Facilitation Project I)[4] from which ATI was created. ATI launched in 2001 in Kampala, Uganda [5] and opened its doors in Nairobi, Kenya, ATI's head office.
ATI has 18 member countries and 11 other corporate shareholders like the African Development Bank, Trade Development Bank, UK Export Finance (UKEF), SACE, Chubb and Atradius.[6] India became the first non-African member country to become a shareholder through its government-backed export credit agency, ECGC[7]
| Paid up Capital | Non-African Member Countrties | Paid-up Capital | Other Shareholders | Paid-up Capital | |
|---|---|---|---|---|---|
| Benin | 14.1 | India (ECGC) | 11.7 | African Development Bank | 15.0 |
| Burundi | 15.4 | African Reinsurance Corporation | 1.0 | ||
| Côte d'Ivoire | 20.1 | Atradius | 0.1 | ||
| Democratic Republic of Congo | 19.5 | Chubb Limited | 10.0 | ||
| Ethiopia | 7.0 | COMESA | 0.1 | ||
| Ghana | 17.6 | Kenya Reinsurance Corporation | 1.0 | ||
| Kenya | 28.7 | SACE SpA | 10.0 | ||
| Madagascar | 7.1 | Trade Development Bank | 1.0 | ||
| Malawi | 17.5 | UK Export Finance | 0.1 | ||
| Rwanda | 8.8 | ZEP-RE | 0.5 | ||
| Niger | 12.5 | ||||
| Nigeria | 14.1 | ||||
| South Sudan | 9.1 | SACE SpA | 10.0 | ||
| Tanzania | 17.0 | Trade Development Bank | 1.0 | ||
| Togo | 12.3 | UK Export Finance | 0.1 | ||
| Uganda | 23.0 | ZEP-RE | 0.5 | ||
| Zambia | 17.4 | ||||
| Zimbabwe | 13.0 |
Credit ratings
S&P: Reaffirmed A/Stable (April 2020);[8] Assigned a Financial Enhancement 'A' rating (refers to ATI's ability and willingness to pay claims) [9]
Moody's: Assigned A3/Stable (May 2019) [10]
See also
- African Development Bank
- African Export-Import Bank
- Africa Finance Corporation
- Berne Union
- Chubb Limited
- COMESA
- ECGC
- MIGA
- Mizuho Corporate Bank
- MUFG
- Nippon Export & Investment Insurance (NEXI)
- Sumitomo Mitsui Banking Corporation
- The World Bank
- Trade Development Bank
References
- ↑ 1.0 1.1 "Insuring Africa" (in en). The Economist. https://www.economist.com/finance-and-economics/2001/08/09/insuring-africa.
- ↑ 2018 Annual Report & Accounts. Nairobi, Kenya: ATI. 2019. pp. 5. http://www.ati-aca.org/wp-content/uploads/2019/06/ATI-Annual-Report-2018.pdf.
- ↑ "H1 2019 Results". 30 June 2019. http://www.ati-aca.org/wp-content/uploads/2019/09/ATIs-Financial-Reporting-Brief_H1-2019-NEW-4.pdf.
- ↑ The World Bank (3 April 2001). "Regional Trade Facilitation Project 1". http://projects.worldbank.org/P063683/regional-trade-facilitation-project?lang=en.
- ↑ ATI (4 September 2003). "ATI and World Bank Agency join forces to boost African private sector investment". http://www.ati-aca.org/african-trade-insurance-agency-ati-and-world-bank-agency-join-forces-to-boost-african-private-sector-investment/.
- ↑ Ngugi, Brian (29 August 2018). "ATI's credit rating upheld on expanding shareholder base". https://www.nation.co.ke/business/ATI-expanding-shareholder-base/996-4735064-cfnwxp/index.html.
- ↑ The Hindu BusinessLine (19 July 2018). "To invest $10 million in ATI". https://www.thehindubusinessline.com/money-and-banking/ecgc-to-invest-10-million-in-ati/article24464243.ece.
- ↑ Smith-Juvelis, Alexis (28 April 2020). "African Trade Insurance Agency 'A' Ratings Affirmed On Criteria Revision;Outlook Remains Stable". http://www.ati-aca.org/wp-content/uploads/2019/04/SP-Rating-in-2019.pdf.
- ↑ Smith, Alexis (25 September 2018). "African Trade Insurance Agency Assigned 'A' Financial Enhancement Rating". http://www.ati-aca.org/wp-content/uploads/2018/10/RatingsDirect_ResearchUpdateAfricanTradeInsuranceAgencyAssignedAFinancialEnhancementRating_39829838_Oct-09-2018.pdf.
- ↑ Holmes, Brandan (29 May 2019). "African Trade Insurance Agency New Issuer - Strong balance sheet and preferred creditor status offsets high-risk insured exposures". http://www.ati-aca.org/wp-content/uploads/2019/05/ATI-published-Credit-opinion.pdf.
External links
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