OAU To Launch Africa Trade Insurance Agency

By Vision Reporter PRESIDENT Yoweri Museveni has said the Africa Trade Insurance Agency (ATIA), will be officially launched in Kampala on August 20 during the regional gathering of leaders of the Southern Africa International Dialogue. The agency was established by the COMESA heads of state and summit in Mauritius. Museveni's press secretary Hope Kivengere in a statement yesterday said Museveni said this during the OAU summit at Mulungushi International Conference Centre, in Zambia. Museveni said ATIA was formed to offer commercial and political risk insurance in Africa. He said the major challenge facing Africa is how to mobilise financial resources for trade and investment to achieve at least a 7% growth rate. Museveni said to achieve the required growth rate, a minimum of 25% GDP investment ratio has to be attained. He said the scarcity of investment resources was partially due to negative perceptions of Africa created by negative media coverage of the continent and the realities like inde-btedness, regional confli-cts and natural calamities. Museveni said even the little capital that comes to Africa is at a higher interest rate compared to other regions because of the negative perceptions. Museveni told the summit that many foreign financiers do not consider trade or investment proposals on Africa because of fear that their investments may be insecure. He said the participating countries in ATI are Burundi, Rwanda, Malawi, Kenya, Uganda, Tanzania and Zambia. He, however, said all African countries are eligible to participate in the project. Museveni returned to Uganda yesterday after discussions with presidents Sassou Nguesso (Congo Brazaville) and Issais Afweki (Eritrea). Ends