The National Economic Council, headed by Vice President Kashim Shettima, has recommended the implementation of a national disaster insurance policy for Nigeria. This decision was one of the key outcomes of the council’s recent meeting, during which several crucial issues were deliberated. Atiku Bagudu, the Minister of Budget and Economic Planning, made this disclosure while addressing the press at the conclusion of the meeting held at the presidential villa in Abuja.
According to Bagudu, the council is considering African Reinsurance, a prominent insurance entity, to provide coverage for Nigeria in the event of unforeseen natural disasters such as earthquakes or floods.
Bagudu stated, “The National Economic Council, under the Chairmanship of His Excellency the Vice President, deliberated on a presentation by the Chief Executive Officer of African Reinsurance, the leading insurance company in Africa. They presented a two-fold proposal, focusing on natural catastrophe insurance aimed at safeguarding the nation against disasters like flooding. This becomes particularly significant as Morocco recently experienced a devastating earthquake. African Reinsurance, along with other insurance firms, provided over $270 million in support to the earthquake victims. Vice President Shettima sees this as an opportunity for Nigeria to introduce natural catastrophe insurance, with the likelihood of government support.”
The Minister further highlighted, “Farmers, pastoralists, and other small-scale holders in Nigeria stand to benefit from the proposed policy. There was also a presentation on crop insurance, which aims to provide protection to our farmers and small-scale holders against disasters and challenges in agricultural production. Vice President Shettima encouraged states to take advantage of the opportunity offered by African Reinsurance to provide insurance to small-scale participants in the agricultural sector within their respective states.”
The council additionally directed the Coordinating Minister of the Economy and Finance, in collaboration with the Budget and Economic Planning counterpart, to outline a roadmap for the adoption of national catastrophe insurance and insurance support for farmers and small-scale holders in the agricultural sector.
The National Economic Council is also set to convene a retreat in the first quarter of the coming year, which will take place in the capital city of Abuja. This event aims to foster synergy between the central government and the sub-national entities, ultimately enhancing collaboration and unity in economic decision-making processes.
Deputy Governor of Lagos State, Mr. Femi Hamzat, emphasized, “The NEC retreat will facilitate complete synergy between the federal government and the sub-national entities, allowing for the harmonization of activities and a seamless flow of ideas. Scheduled for the first quarter, possibly in January or February, the retreat is a pivotal opportunity for unified planning and coordination of activities.”
As a critical advisory body to the President on economic matters and policies, the National Economic Council plays a pivotal role in steering Nigeria’s economic course.
