By Gabriel Agbeja

Sen. Abdulfatai Buhari, Chairman of the Senate Committee on Aviation and Aerospace Development, has stated that Nigeria’s Insurance Industry Bill 2024, will attract global investment to the nation once enacted.

Buhari made this assertion during the Nigeria Insurance Forum, a segment of the Airline Economics Growth Frontiers Global event in Dublin, Ireland, on Wednesday.

The News Agency of Nigeria (NAN) reports that the Airline Economics Growth Frontiers Global event, part of Airline Economics Week, runs from January 12 to 15.

The forum highlights developments and trends in the global aviation industry, focusing on the financing and leasing of aviation assets.

According to Buhari, the proposed legislation will strengthen Nigeria’s regulatory framework, increasing confidence in the nation’s insurance market and making it more appealing to investors.

“The Nigerian Insurance Reform Bill, 2024, aims to provide a comprehensive legal and regulatory framework for the insurance business in Nigeria.

“It marks a significant milestone in efforts to reform the industry, bringing Nigeria’s insurance sector in line with global best practices by repealing and replacing outdated laws”.

Buhari also advocated for a portion of aircraft dry lease insurance to be allocated to the Nigerian local market.

He explained that involving the local market alongside international insurers would enhance regulatory confidence and provide added security.

Prof. Obiora Okonkwo, CEO of United Nigeria Airlines, revealed the challenge of satisfying both lessors and the local market regarding insurance.

He noted that lessors often require 100 per cent of insurance coverage to be handled internationally.

“The lessors want their equipment safe and secure, we need to find a common ground.

“While there’s no regulation mandating domestication, even a small percentage for the local market is better than none”.

He praised the Federal Government’s initiatives to modernise Nigeria’s aviation sector, adding that industry growth benefits all stakeholders.

Similarly, Mr Olusegun Omosehin, CEO of the National Insurance Commission (NAICOM), advocated for 6 per cent to 20 per cent of aircraft dry lease insurance to be allocated to Nigeria’s local market.

He emphasised that such measures could boost Nigeria’s Gross Domestic Product (GDP).

Meanwhile, Mr Festus Keyamo, Minister of Aviation and Aerospace Development, reaffirmed the government’s commitment to creating a favourable environment for global investors in the aviation sector.

He stressed the importance of safety and security in the industry, describing it as a vital part of the nation’s economy. (NAN)(www.nannews.ng)

Edited by Jane-Frances Oraka