Economic Council Recommends Disaster Insurance Policy

Economic Council Recommends Disaster Insurance Policy

The National Economic Council, under the Chairmanship of Vice President Kashim Shettima has strongly recommended the adoption of a national disaster insurance policy for Nigeria.

This was part of resolutions reached at this month’s meeting of the Council.

Minister of Budget and Economic Planning, Atiku Bagudu revealed this while briefing Journalists at the end of the council’s meeting at the presidential villa, Abuja.

He said an insurance outfit, the African Reinsurance, is being considered to provide protection for Nigeria in the wake of any unforeseen natural disaster like earthquake or flood.

Among other items, the National Economic Council under the Chairmanship of His Excellency the Vice President, Kashim Shetima, considered a presentation by the Chief Executive Office of African reinsurance which is the leading insurance company in Africa.

They made a two-fold presentation; one on natural catastrophe insurance that can be utilized to protect the nation against natural catastrophes like flooding and other disasters, this is particularly so, as observed by the Vice President that Morocco recently had a devastating earthquake and Africa Reinsurance, leading other insurance outfits, provided over $270 million support for those who were affected  because they were insured and His Excellency felt this is an opportunity for Nigeria to also introduce natural catastrophe insurance with the likelihood the Nigerian government will provide the support in that regard,” the Minister stated.


The Minister said Nigerian farmers; pasturalists and other small scale holders also stand to gain from the proposed policy.

Equally, there wasa presentation on crop insurance which can help our teaming farmers, pasturalists and other small scale holders to obtain insurance so that it will protect them against disasters, catastrophes, or challenges that can be faced from time to time in agricultural production.

His Excellency the Vice President advised States to utilize the opportunity provided by the Africa Reinsurance in helping to deliver insurance to small scale holder participants in the agricultural space in their respective States.

Associated with this, the Council resolved and directed that the Coordinating Minister of the Economy and Finance, as well as his Budget and Economic Planning counterpart, chart a roadmap that can see us adopting the National catastrophe insurance and the insurance for supporting farmers and other small scale holders in our agricultural space,” Bagudu explained.

NEC Retreat

Meanwhile, the National Economic Council in Nigeria is to hold a retreat in the first quarter of next year.

The retreat, which is to be held in the nation’s capital Abuja, will bring together all members of the council as well as enhance synergy between the government at the centre and the sub-nationals.

Deputy Governor of Lagos State, Mr Femi Hamzat, disclosed this while briefing State House Correspondents at the end of the council’s meeting for November.

He said: “A decision was made to plan a NEC retreat and what that does is that it allows a complete synergy between the federal government and the sub-nationals.

That way we can all come together, two-three days to plan activities and have a complete flow of ideas and of course do things along the same line. It will be held in Abuja in the first quarter of next year; hopefully January or February.”

The National Economic Council is a statutory body, under the leadership of the Vice President, that advises the President on economic issues and policies.

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