The lot of compliers includes companies from the public business sector such as the diamond company Endiama and entities from the banking and insurance sector, namely Angola Development Banks (BDA), Poupança e Crédito (BPC) and the insurance company ENSA. But “heavyweights” like the oil company Sonangol or the Angolan air carrier, TAAG, were left out. It should be noted, however, that TAAG is one of the companies whose privatization process is scheduled for 2021, as advanced in an interview with the Economy & Market (E&M), last year, the head of the privatization and restructuring department of public companies in the Institute for the Management of Assets and State Participation (IGAPE), Ana Paula Zengo, who guaranteed, on the occasion, that there was a technical group from the transport sector working on this particular dossier.

In the case of ENSA, the “efforts” undertaken with a view to the financial restructuring of the company’s accounts and the constitution of technical provisions as well as premiums in collection were some of the causes of the negative result achieved by the insurer, in the financial year of 2019, as informed by , recently, the chairman of the board of directors of the institution, Carlos Duarte, at a press conference. As a result of this restructuring, which “was abrupt, but necessary for the stability of the company”, as the official pointed out, the company ended 2019 with a negative result of 9.9 billion kwanzas.

However, the same cannot be said in relation to the solvency margin of 102% which, although having registered a decrease of 421% compared to the previous year, remains in line with the requirements of the regulator, in this case the Angolan Regulatory Agency and Insurance Supervision (ARSEG). In total, the country’s largest insurance company invested and set up provisions valued at AOA 94.7 billion, subdivided into technical provisions and provisions for collection premiums, as mentioned above.

In addition to the situation of insufficient provisions, the new management, which came into operation in November last year, found the insurer’s high debts with suppliers, along with a volume of premiums to be collected, in 2019, in the order of 17 billion kwanzas, according to the financial administrator, Ildo Nascimento. However, “the insurance company recorded a 35% growth in the volume of gross premiums issued, totaling AOA 63.7 billion. However, of this amount, the company was only able to charge 27.9 billion kwanzas”, he highlighted.

Source: economiaemercado