Today, the world is facing an economic crisis and the big companies are declaring bankruptcy. But the National Insurance Corporation of Eritrea Share Company (NICE) managed to provide similar amount of dividend to the shareholders regardless of the economic crisis of the world is facing today. This was addressed on the one day meeting of the 5th ordinary annual general meeting of the National Insurance Corporation of Eritrea Share Company held on 6th June 2009 at Asmara Palace Hotel in the capital in the presence of government officials, military commanders, shareholders, observers and invited guests.

Started with a cultural show of Wari Cultural Group, the opening ceremony, presented the detailed activities of the company in the past year.

Mr. Zeru Woldemichael, General Manager, in his speech welcomed the participants of the meeting and reported the operational activities, developments and risks the company is facing at the moment. “Last year, the general profit of the Company was 141 million Nfa (145 million in 2007) and 44.4 million Nfa (46.7 million Nfa in 2007) net profits were gained and 48.5 million Nfa (50.5 million Nfa in 2007) will be distributed to the shareholders. This includes services from management and investment income,” he explained.

Regarding the risks the Company is facing at the moment, the General Manager said that the insurance business is a boundary-less business and the economic crisis of the world will obviously influence NICE. “But minimizing the loss is our main task,” he added.

Mr. Zeru also provided an example of how the economic crisis influences NICE and said that AIG’s (the biggest insurance company in the world) economic crisis at the moment created some disturbances in NICE, as it had some businesses with it. “So we have to know that big companies with an experience of over hundred years can be bankrupt within days and they could abandon us immediately,” he added.

“We have to know that the perturbing situation around us could not be eliminated easily, but by the dedication and hard work of our employees we will try to manage the risks no mater what,” he informed.

Guest of honor, Prof. Abraham Kidane, in his part said that it is a source of pride and motivation for the country as well as the shareholders to see NICE confronting the current economic crisis of the world.

Regarding the activities of NICE related with its shareholders Mr. Eyasu Hadgu, a shareholder, said, “I am glad that NICE was able to pay dividend to its shareholders, more or less at the same level as last years. This is evidence that in spite of any challenges NICE’s management is performing at its usual level of efficiency.”

Dr. Girmay Abraham, Chairman of the Board of Directors, in his speech reported on the Board’s activities in the past year and thanked the General manager and members of the Board.

Mr. Abraha Tkuu, a shareholder also said, “It is only a 0.40 Nfa per a share and 2 million Nfa from the overall profit decrease in this year’s dividend compared to last year, so I don’t see any difference rather than outstanding profit. It is the only Insurance Company in the country and it is using the chance well.”

The shareholders of the National Insurance Corporation of Eritrea Share Company at the 5th Ordinary Annual General Meeting considering the memorandum and articles of association agreed to hold its 6th ordinary annual general meeting in the month of May/June 2010 or as soon as the audit accounts for the 2009 financial year is finalized as shall be determined by the board of directors.