Risk Signal
Brent crude at $62.50 represents more than a pricing problem-it's a multi-line insurance stress test. African oil-dependent economies budgeted for $75-80 Brent, creating estimated $15-20 billion aggregate fiscal shortfalls across Nigeria, Angola, Gabon, and Chad. For underwriters, this triggers a cascade: political risk...
Payment Default Cascade Threatens Portfolio Stability
Nigeria's electricity subsidy regime has evolved from a fiscal policy challenge into a crystallized insurance risk event. Generation companies are owed approximately ₦4 trillion as of mid-2025, comprising ₦2 trillion for 2024 electricity supplied and ₦1.9 trillion in legacy...
Africa holds 30% of global mineral reserves critical to the energy transition-including over 70% of global cobalt production from the Democratic Republic of Congo, substantial lithium deposits across Zimbabwe, DRC, and Mali, and significant graphite reserves in Mozambique.
African reinsurers generated $6.269 billion in premiums in 2024, yet continental reinsurers struggle to absorb specialty risks and major risks from industrialization and infrastructure development. The capacity constraint is most acute in energy and mining lines.
