13 April 2014, Lagos – The President, Chartered Insurance Institute of Nigeria (CIIN), Mr Kayode Lawal, has said that the nation’s new Gross Domestic Product (GDP) would improve the rating of its insurance industry internationally.
Lawal told the News Agency of Nigeria (NAN) on Friday in Lagos that the industry would begin to get better recognition in the global reinsurance businesses.
He said the rebasing of the GDP had identified economic structures that needed governments’ attention for sustainable growth.
“This rebasing is just a nomenclature. If your total volume is N10 million and you convert it to Cedes it becomes 100 million Cedes, it has not changed the status of the economy.
“It’s only that we have now been properly positioned in the scheme of things. In other words we are being considered on the same platform with other countries.
Lawal urged to government to ensure that the rebasing of the GDP reflected on the lives of the citizenry.
“It does not also improve the security of the nation which l think should be of utmost and primary attention of government at this point in time.
“l think government should do everything to arrest that; provide security for the nation; improve employment opportunity for the citizenry; and create conducive atmosphere for businesses to thrive.
“A situation where a number of our manufacturing companies would relocate to Ghana does not augur well for Nigeria as a nation. In fact it creates problem of unemployment,’’ he added.
Lawal also said that the nation’s new GDP had provided the basis for scientific evaluation and tracking of the economy and general development.
“In the insurance industry it has implications that among the league of nations our rating has improved.
“That means a lot in our relationship with other similar organisations internationally, because insurance is an international business. They will give us better recognition.
“It does not change the structure of the economy. It does not increase the number of insurable risk that is in the economy because that is where insurance will grow.’’