Uganda's first reinsurance company launched

By Samuel Sanya

Uganda’s first reinsurance company has been launched amidst plans to list on the Uganda Securities Exchange (USE) within the first two years of the company’s existence.

All 22 licensed insurance companies are required to cede at least 15% of their reinsurance business to a local re-insurance firm according to the insurance (amendment) Act 2011.

Samson Muwanguzi, the Uganda Reinsurance (Uganda Re) chairman says the company intends to raise its paid share capital to sh10b by September 2014 and to list on the stock exchange in the immediate future.

“We are confident that the Uganda Re will grow by at least 15% every year. There are rigorous conditions for a company to list on the stock exchange but we are confident of listing within the next two years,” Muwanguzi said at the Imperial Royale Hotel.

He was speaking at the sidelines of the first Uganda Re annual general meeting. He said the Uganda Re intends to underwrite premiums worth sh15b in 2014 and sh22.6b in the following year.

The Uganda Re has local shareholders with a paid up share capital of sh6.9b and gross written premium of sh638m after seven months in operation according company documents