CRITICAL INFRASTRUCTURE

INTELLIGENT TECHNOLOGY

The initiative emerged from the CDRFI Africa Forum in Nairobi, which brought together governments, insurance regulators, development partners and insurance market participants to advance climate and disaster risk financing and insurance across the continent.

Representatives from 21 countries attended the two-day forum, sharing experiences from different stages of developing and implementing disaster risk financing frameworks.

Participants highlighted the need for reliable national and regional risk data, stronger analytical and modelling capabilities, continued innovation in insurance markets and risk-pooling mechanisms capable of addressing the systemic nature of climate and disaster risks.

The forum concluded with a Call to Action mandating ZEP-RE, a specialised institution of COMESA and pan-African reinsurer, to support the design, establishment and operationalisation of a thematic risk pool.

The proposed pool will provide capacity to protect public assets and critical infrastructure against climate and disaster risks. ZEP-RE will work with participating governments, insurance regulators, regional bodies, development partners and insurance market participants on the initiative.

Governments establish Community of Practice

Participating governments also launched a government-led, peer-to-peer Community of Practice on Climate and Disaster Risk Finance and Insurance in Africa.

The initiative will provide a platform for governments to share experiences, strengthen technical and institutional capabilities and translate commitments under the Zanzibar Declaration into practical action. It will also support insurance market development and the creation of financial protection solutions for resilient critical public infrastructure.

Dr Boniface Makokha, Principal Secretary, State Department for Economic Planning, said:“ Through the Community of Practice, participating countries will be able to voluntarily share tested approaches to designing and implementing national disaster risk financing strategies.”

He added that these approaches could include protecting critical public infrastructure through pre-arranged financing, regulatory alignment and complementary regional risk-pooling mechanisms for climate and disasterrelated risks.

Hope Murera, ZEP-RE Managing Director and Group Chief Executive Officer, said:“ Countries have called for financial protection to safeguard public assets before disaster strikes. ZEP-RE is ready to help governments assess their exposure, determine what can be pooled and develop a solution that meets their needs.”

Dr Protazio Sande, Interim Chairperson of the East Africa Insurance Supervisors Association and Acting Chief Executive Officer of the Insurance Regulatory Authority of Uganda, called for participating countries to translate their shared responsibilities into action. He encouraged each delegation to implement at least one measure following the forum and report on progress when participants next convene.

The CDRFI Africa Forum was held alongside the 8th Annual East Africa Insurance Regulators and ZEP-RE Strategic Forum. It was co-convened by the National Treasury of Kenya and ZEP-RE, with the East Africa Insurance Supervisors Association, Insurance Regulatory Authority of Kenya, World Bank and Global Shield against Climate Risks serving as strategic partners.

The inaugural CDRFI Africa Forum was held under the theme‘ Increasing Insurability to Close the Protection Gap in Africa’ and is intended to move climate and disaster risk financing from policy discussion towards implementation across the continent. • www. intelligentcio. com

INTELLIGENT CIO AFRICA

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