The managing director/CEO of FBS Reinsurance Limited (FBS Re), Ganiyu Musa, has advocated for consolidation in the insurance and reinsurance market in Nigeria.
Musa said consolidation will help create fewer but stronger institutions capable of fulfilling their contractual obligations
Calling for more reinsurance investors in Nigeria given the limited number of local reinsurance players, he noted that the country has a very large number of underwriting firms and so need more investment in local reinsurance to enhance risk retention.
Musa, who made these remarks when members of the 2025 Annual NAIPE Conference visited the reinsurer to present an Appreciation Award to Bala Zakariyau, chairman of FBS Re stressed that, “there is a need for us to have reinsurance capacity in Nigeria. We have quite a number of insurers in Nigeria, but when it comes to Nigerian reinsurers, we have very few.”
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Emphasizing that the whole idea of reinsurance is built on capacity and professionalism, he added: “I am a big fan of consolidation, rather than having several small, disparate players.
“It is better to have a few, very well-governed, well-capacitated Nigerian reinsurers. No one is coming to develop the sector for us. If conditions are good, investors will come and stay.”
At the slightest turn of events, he said, foreign investors often move their capital elsewhere. “But for us, we are capitalised here, we have our headquarters here, and we pay our taxes here. So, this is our home.”
On the ongoing recapitalisation in the insurance industry, Musa said, “FBS Re is not going anywhere. Yes, we can go abroad and bring the goodies back home, but this is our base.”
On recapitalisation, he stated that FBS Re is in a very comfortable position, saying, “So, it’s a very good time for us to be a Nigerian reinsurer.”
