Where we are – comment on Munich Re of Africa - Group

Munich Reinsurance Company of Africa Limited Group (MRoA), the largest reinsurer in Sub-Saharan Africa, recently released the MRoA Group’s results for the 2008 financial year.

“We are satisfied with our figures”, commented Junior Ngulube, CEO, “especially within the current financial climate. We believe that our standing and security in the markets in which we operate are fairly illustrated by the results achieved in both our Life and Non-Life portfolios, with our Life figures showing particularly good development; in addition, the results emanating from Munich Mauritius Reinsurance Company reflect excellent growth and are indicative of the effort we have put into further developing our presence across Sub-Saharan Africa. Although our non-life underwriting result was negatively affected by a high incidence of large losses in the year under review, our belief in the great potential for economic development and growth in the insurance markets in our area of operation remains firmly grounded, and we are as ever committed to continue working closely with our clients as an enabling 'Partner in Risk'.”

MRoA Group Financial Highlights (R’000):

A further boost to the confidence levels of the MRoA Group, is the ongoing stable performance of the Munich Re Group globally. Munich Re, the largest reinsurer in the world, made the following statement at last week’s Annual General Meeting held in Munich: “shareholders of the Munich Re Group were very satisfied. Despite the profit of €1.5bn being considerably lower than in the record previous years, Munich Re had done better than its competitors, thanks to its good risk management and prudent investment policy”. Although Nikolaus von Bomhard, Chairman of the Munich Re Group Board, warned that the global financial crisis is far from over, he concedes that the Group’s underwriting business has performed pleasingly in the first few months of 2009; “Although the picture is not yet complete, a satisfactory result is emerging”.

It is also gratifying to note that Munich Re of Africa, and separately Munich Mauritius Reinsurance Company, were both awarded “A” ratings, with stable outlook, by Standard & Poors in 2008. We are justifiably proud of this acknowledgement of our security and professionalism.

In closing, Junior Ngulube is comfortable to confirm that Munich Re of Africa’s clients remain top priority for the organisation, which will continue to function in close co-operation with all stakeholders in a stable, client-centric, environment.