This archive report was first published on 15 July 2020.
On July 15, 2020, Global Credit Ratings (GCR) reaffirmed Kenya Re's national scale financial strength rating of AA+(KE) with a stable outlook. This affirmation is a testament to the reinsurer's strong risk capitalization and liquidity.
According to GCR, Kenya Re's capitalization is within the very strong range, reflecting the company's healthy liquidity and ability to manage credit risks. The agency noted that cash and equivalents grew by 20% to KES7.4bn at FY19, while the majority of the investment portfolio was placed in low-risk liquidity assets.
Kenya Re's strong business profile in Kenya has contributed to its significant domestic market share of 47%. The company's subsidiaries in strategic locations, expansion plans into the Western and Southern African regions, and strong management commitment have cemented its footprint in the reinsurance markets.
Kenya Re's Managing Director, Mr. Jadiah Mwarania, attributed the re-affirmed national scale financial rating of AA+(KE) and stable outlook to strong risk-adjusted capitalization, market diversification, low-risk investment portfolio, a diversified business portfolio, prudent underwriting, and effective expenses management.
