NAIROBI, Kenya, May 4 – Africa Trade Insurance (ATI) Agency will start paying dividends in the 2017 financial to its clients in country members for the first time in 15 years.
CEO George Otieno says this is a pledge made to its investors once it crossed the Sh700 million mark in profit.
In 2016, the company recorded a net profit of Sh649million representing a 36 per cent increase from 2015 with a target of Sh1bn in 2017.
“We had pledges to our clients that once we cross the $7million mark we will issue dividend and we are talking of 20 per cent of our profits. This will help attract new members as well as positive for the long time members,” Otieno said Thursday.
In 2016, the company insured close to Sh405 billion worth of trade and investments.
During the year under review the company took new members including Côte d’Ivoire, Ethiopia and Zimbabwe and is actively pursuing membership of other countries including Angola, Ghana, Nigeria and other ECOWAS countries.
“In 2016, this international expansion also included the accession to ATI membership of UK Export Finance (UKEF), the UK’s national export credit agency,” ATI’s Chief Underwriting Officer John Lentaigne noted.
ATI is a multilateral investment insurer that was formed by COMESA member countries with the support of the World Bank in 2001.
It covers the trade and investment risks of companies doing business in Africa, providing Political Risk, Surety Bonds, Trade Credit Insurance and Political Violence and Terrorism & Sabotage cover.
As of 2016, ATI has supported Sh2.5 trillion worth of trade and investments into its member countries.