Insurance Supervision Institute of Mozambique consults market on proposed revisions to insurance and pensions legislation

The Insurance Supervision Institute of Mozambique, working with the World Bank and the Callund, Ruparelia and Lei-Associados consortium, convened a seminar in Maputo to discuss a draft proposal to revise Mozambique’s insurance and pensions legislation and gather input from sector stakeholders. The stated aim is to update the legal framework to support sound development of insurance and pension activities, protect consumers and safeguard market stability. Officials highlighted recent market expansion and supervision priorities. Between 2016 and 2021, the sector grew from 621 to 877 insurance operators, and production volume increased from MZN 10.6bn to MZN 20.2bn, with insurance penetration reported at 2% of GDP; the market currently has 18 insurers following a portfolio transfer process initiated in late 2021. The seminar was framed in the context of Mozambique’s efforts to exit the Financial Action Task Force grey list, requiring strict compliance with anti-money laundering and counter-terrorist and proliferation financing standards, and the Government’s Economic Acceleration Measures Package (measure 17), under which the institute is expected to strengthen supervision of social security and complementary pension funds, including those managed by the National Social Security Institute. Separately, the institute noted a parallel objective to modernise supervisory information systems, including adopting the Bank Supervision Application platform, managed by the Bank of Mozambique and customised for insurance supervision.