- Around **30** senior executives from South African insurers—including Discovery, Old Mutual, Santam, Absa Group and Sanlam—visited Ethiopia and predicted major insurers will enter the market within five years.
- Ethiopia’s draft insurance law would allow foreign insurers, introduce regulatory sandboxes, establish an independent regulator and authorise Takaful (Islamic insurance) products.
- Executives noted insurance penetration is low but digital and underserved markets offer **"huge potential"**.
**Market Impact:** Opening the insurance sector could attract foreign capital, introduce innovative products and increase competition. Improved digital infrastructure may expand access to previously underserved consumers.
**Key Numbers:**
- **30** — executives visiting Ethiopia.
- **0.5% (approx.)** — estimated insurance penetration in Ethiopia, indicating large growth potential.
- **1 draft law** — proposing foreign entry, sandboxes and a Takaful framework.
**Business Signal:** International interest points to opportunities for new entrants and signals Ethiopia is opening its financial sector, potentially accelerating digital insurance and inclusive products.