Search

Bangladesh has a comprehensive Disaster Management plan, but details on the implementation and sufficiency of funding should be clarified. Strengthening financial disclosure could encourage greater engagement from key local and international stakeholders. The country also offers great opportunities to increase the outreach of insurance to larger sections of the population, especially to those most vulnerable to the substantial exposure to natural hazards and especially flood. The micro-finance market is well developed and provides opportunities to expand the still very limited availability of micro-insurance propositions to the rural population. Index-based insurance programs supported by mobile payment systems have already been piloted and there is considerable scope for this to be expanded, especially when appropriately subsidized to address affordability issues. However, this will require further strengthening of the insurance market, in respect of the implementation of the Insurance Act 2010 and of consumer representation, which is underdeveloped but may contribute strongly to improve the public’s confidence and help the industry to develop successful propositions also for emerging customers. more...

Rwanda grew at a rapid rate in the second half of 2011, exceeding 10 percent for the first time, since the 2009 global economic downturn. Overall, Rwanda achieved 8.6 percent growth in 2011, and substantially exceeded the average growth for Sub- Saharan Africa (SSA) of 5.0 percent. Rwanda also grew fastest than all the countries in the East African Community (EAC), which as a group reached 6.1 percent in 2011. Robust growth continued in the first quarter of 2012, when Rwanda's economy expanded at 7.7 percent. Renewed concerns over the global growth outlook and of the European debt crisis, might negatively affect Rwanda's prospects in 2012/2013, and lead to a lower growth turn-out compared to 2011. First quarter growth in 2012 remained overall robust, but showed considerable weakness in the industry sector. This was in contrast to what was observed in the second half of 2011, when industrial growth led by buoyant construction, and mining activities pushed the sector to the top, ahead of services. In the second half of 2011, Rwanda's growth momentum accelerated largely led by thriving non-tradable goods and services sectors while the manufacturing sector continued to be sluggish. The Rwandan economy expanded by 10.8 percent during the second half of 2011, but manufacturing only contributed 0.5 percentage points to this growth outcome. Agricultural output took a leap in the second half, mainly due to a very good second harvest season outcome. Overall, growth turn-out for 2011 stood at 8.6 percent, up from 7.2 percent in 2010. Inflationary pressures reappeared in tandem with high international food and fuel prices. The small policy response came with a delay, not enough to prevent core inflation reaching its highest level since mid-2009. Core inflation exceeded headline inflation for the whole second half of 2011. The current account deficit broadened in 2011. Rwanda's export performed robustly, benefiting from high international prices, but could not keep up with the increasing import bill, leading to a further deterioration in the trade balance. For 2012, Rwanda's economy is expected to continue to grow slower than it did in 2011, but at a healthy pace. The industrial sector is likely to expand less than in 2011 and growth in the services sector is expected to be more moderate, both on account of a more risky global environment. more...

The Serbian insurance sector remains small and underdeveloped. Over the last three years, the market experienced very little growth in real terms mainly due to weak economic growth, premium payment difficulties in the industrial sector, which forced many corporate policyholders to cancel their insurance, and fierce price competition among the growing number of players. With consumption of 76 Pounds and 10 Pounds per capita for non-life and life insurance, respectively, Serbia lags behind most of its neighbors in Southeastern and Central Europe. In 2009 the industry accounted for only 4.6 percent of total assets and 5.6 percent of total capital in the Serbian financial sector. Although in 2008 the total gross premium written (GPW) for both life and non-life was SRD 52.2 billion (dinars), representing a 5.3 percent annual inflation-adjusted increase over the previous year, in 2009 the sector is likely to experience an 8 percent contraction due to the impact of the economic crisis. more...