Munich Re partners with FMO to support private insurers’ growth in poorest countries

Munich Re has signed a pact with Netherlands Development Finance Company (FMO) for an Unfunded Risk Participation Program. With the aim of supporting private sector insurance growth in the poorest countries across the globe, the Re/insurance major has taken the move. As part of the agreement, Munich Re will participate in FMO transactions up to a total amount of $500m over the next three years. On the other hand, FMO intends to scale up private sector mobilisation and increase funding towards financial Institutions, the energy and agribusiness sector in developing markets. Munich Re board of management member Doris Höpke said, “The risk participation programme with FMO creates a win-win situation for both our enterprises: FMO benefits from the strong insurance capacity of Munich Re to mobilise more capital for their mission, Munich Re profits from FMO’s excellence in loan origination and credit risk management in emerging markets. The partnership allows us to open up new markets for our business, while supporting FMO in their mission to foster private sector growth in developing countries.”