African Reinsurance Plc (Africa Re) final accounts for the year ended 31 December, 2010 has revealed an income of US$627.53 million compared to US$ 536.38 million in 2009.

The figure represents a growth of 16.99 per cent even as net profit stood at US$64.86 million, compared to US$ 44.30 million for the previous year.

Conscious of the need to consolidate the Corporation’s financial base whilst ensuring returns on shareholders’ investment, the General Assembly decided to distribute the net results with US$ 32,431,516 committed to the general reserve in accordance with Resolution No. 4/1992; US$ 3,981,188 to be paid as dividend at the rate of US$2 (2009:US$2.50) per subscribed and paid up share of US$100 par value; US$800,000 to be transferred to the reserve for loss fluctuation; while the balance of US$27,650,328 to be added to retained earnings.

The General Assembly also upheld the current dividend distribution policy to significantly improve returns on investment for shareholders, without compromising international prudential rules.

Mr. Musa Al Naas, Chairman of the Board of Directors and the General Assembly of Africa Re who disclosed the figures at the annual general meeting of the company in Morocco told members about the confirmation of the Corporation’s financial strength (A-) by the rating agencies – Standard & Poor’s and A.M. Best – he declared that the African Reinsurance Corporation continued the policy of extending its marketing network.

Thus, Africa Re takaful – the Islamic Reinsurance subsidiary – started its operations on 1 September 2010 and a local office was opened in Addis Ababa.

The Chairman of the Board of Directors and the General Assembly stated that after spending close to a quarter of a century at the service of the Corporation, eighteen years of which he served as Managing Director, Mr. Bakary Kamara is going on a well-deserved retirement after taking Africa Re to a level that was hardly imaginable a few years ago.

Mr. Corneille Karekezi – Rwandese and well known in insurance and reinsurance circles in the continent takes the reins of power in Africa Re on 01 July 2011, with the principal mission of consolidating the gains of his predecessors.

In accordance with Article 38 of the Agreement establishing the African Reinsurance Corporation as amended by Resolution 4/1997, the General Assembly appointed Deloitte & Touche (Kenya) as external auditor for a third term. Consequently, Deloitte & Touche (Kenya) shall audit the accounts of the Corporation for the year ending 31 December 2011 and shall present a report to the 34th Annual Ordinary Meeting of the General Assembly on the financial situation as at that date.

Five new Directors were elected to join the Board, with effect from 1 July 2011. They are Mr. Hassan Boubrik, Moroccan, representing the Kingdom of Morocco; Mrs. Mariame Diouf, Senegalese, representing Francophone West and Central African states; Mr. Eteffa Yewondwossen, Ethiopian, representing East African states; Mr. Basiru Njai, Gambian, representing states and companies of Anglophone West Africa and companies of East Africa; and Mr. John Burbidge (International Finance Corporation).