Kampala, Uganda — As the country prepares for the production phase of the oil and gas sector, several companies are readying themselves to tap into the benefits of this sector.
Last week, Marsh Uganda, a subsidiary of Marsh & McLennan Group that acquired Alexander Forbes' risk services early this year launched operations in Uganda, targeting the Oil and pension sectors.
According to the insurance firm's directors, Uganda will be used as an entry point into the East African region.
Speaking during the launch at the Sheraton Kampala Hotel, Mr. Kwame Ejalu the CEO Marsh Uganda said that the partnership was a natural progression because risk profiles were changing and required international standards.
"Today there are new factors affecting business decisions in Uganda because of the oil and gas sector, the rapid infrastructure development spearheaded by China and the European Union and the continued entry of investors who demand quality standards and services. These factors have changed the risk profiles of our clients and thus the need to constantly change," Ejalu said.
He added that the Alexander Forbes will remain playing a role in the imminent liberalization of the pension sector.
The company will thus be called 'Marsh Uganda Incorporating Alexander Forbes.'
Uganda is the fourth country in Africa that Marsh has entered after South Africa, Botswana and Namibia.
Marsh will bring to the Ugandan market includes expertise in managing risks faced by businesses in sectors such as mining and minerals, oil and gas, energy/power, telecommunications, aviation and construction.
The Chief Guest, Prime Minister, Amama Mbabazi, welcomed Marsh's entry into Uganda, noting that by launching in Uganda, it demonstrated the confidence that many international investors had continued to have in the country's potential.
"Several companies have applied to the Insurance Regulatory Authority (IRA) to begin operations next year. Just like any other business, the insurance sector faced numerous challenges in the past but we have seen growth of about 20% in the past decade in the sector," he said.