OKO's CEO Simon Schwall was invited to reflect on the regulatory environment in Africa, 8 years after receiving the Allliance for Financial Inclusion (AFI) fintech showcase award. He is sharing his thoughts below:

Try selling a parametric drought insurance policy:
❌ in a language with no word for “insurance”
❌ to a farmer with low financial literacy,
❌ and only reacheable after 2 hours of driving in the mud

That deserves a bonus, right?😅

Well, the regulators don't seem to agree. Look at these friction points:
- Uganda: Commissions for distributors are capped at a tight 10%.
- Mali: Insurance product tax sits at 20% (while VAT is only 18%).
- West Africa (CIMA region): Want to sell "micro-insurance"? You need to apply for an entirely separate, additional license.
But it’s not all uphill. The tide is turning:
🌾 Parametric insurance is finally being recognized as the solution across most African countries.
📱 Mobile Money interoperability is making it seamless to collect tiny premiums. 🇸🇳 Forward-thinking countries like Senegal have entirely lifted taxes on crop insurance.

Thank you, AFI, for the platform and for your tireless work promoting #FinancialInclusion!