Suriname insurance giant opens branches in Guyana

Suriname’s largest insurance company, Assuria NV launched two insurance services in Guyana last Saturday, Assuria Life (GY) Inc and Assuria General (GY) Inc – the first transborder financial services venture between Guyana and Suriname. President Donald Ramotar and Finance Minister Dr Ashni Singh were among those in attendance at the launch at the Pegasus Hotel, Georgetown.

The head of state, who joined Assuria NV Suriname Chief Executive Officer (CEO) Stephen Smit in toasting the business’s entry into the market, said Assuria’s actions could only aid the further promotion of regional development.

The president noted that for a long time the Caribbean people have been talking about attracting foreign investment: “Now we can speak about investment within our region, investing in each other’s economy in order to help generally with regional development.” He said regional integration is very crucial now as many of the region’s most important trading partners in Europe and North America are facing financial crises.

CEO Smit, according to the Government Information Agency (GINA), said that the launch of the Guyanese operations is part of the company’s strategic plan of being active outside Suriname.

In his remarks, Assuria’s local general manager, Dick Wesenhagen, said this venture has created even more history, as it is the first time that a Surinamese financial institution has established itself outside of the country. He noted that Guyana and Suriname share similar cultures and economies, but for too long the two countries have been ignorant of each other’s development and accomplishments. Hence, both countries have seen limited crossborder business development.

But all of that can change, as the Guyanese and Surinamese heads of government have declared that they are willing to cooperate for the development of their nations. Surinamese companies have identified several investment opportunities in Guyana, particularly trans border financial ventures.

Assuria, according to Wesenhagen, will definitely make a significant contribution to the further development of Guyana and Suriname. The company is determined to play a leading role in pushing growth and innovation in the local insurance industry.

Pleased

Finance Minister Dr Ashni Singh, in his address to the gathering, said that he is very pleased to be a part of endeavour which is based upon the interest of the local population. The finance minister stated that Assuria’s presence in the country signalled confidence in the prospects of Guyana.

Dr Singh noted that the administration has always lobbied for a strong, well regulated, competitive insurance service sector as an “indispensable prerequisite” of a growing economy.

“It is against this background that we (government) are predominantly delighted that Assuria being such a large financial company saw Guyana as an investment territory.” He believes that Assuria’s entry into the local market provides a wider scale of opportunities not only for the company to invest its capital, but for the local financial companies to raise the bar of innovation and competition.

“I have no doubt Assuria would bring experience, products… that would ultimately rebound to the efficiency of the entire industry,” Dr Singh said.

Alluding to the CLICO experience and the resulting loss of credibility suffered by the insurance industry, Minister Singh urged Assuria to work with the other insurance companies “to help to repair what injury would have been done”. Insurance, the minister said, must not be seen as an optional or a luxury item but as an “extremely important element” in risk management.