Lombard records massive growth in cross-border activity

Over the past five years Lombard Insurance has seen an increase of more than 100% in cross-border activity into Africa from its client base. “This has been achieved despite a unique combination of moving goalposts which can include inconsistent regulation, differing mandates and agendas between government departments, rampant inflation, wildly fluctuating fuel prices, foreign exchange constraints and corruption,” says James Barrow, underwriting manager: general and commercial. He adds that Angola, Tanzania, Zambia, Ethiopia, Rwanda and Mozambique are all enjoying growth rates of over 7% as Africa becomes an increasingly popular global import destination. “With growth comes the need for innovation – particularly in Africa – and new technologies, such as the South African Revenue Service (Sars) customs modernisation have, and will continue to have, a significant impact on the way business interacts with customs,” says Barrow. He believes that to operate successfully and sustainably in the African environment requires a definition of innovation that includes flexibility, adaptability, agility and patience. Barrow says the modernisation has seen Lombard’s clients placing heavy emphasis on strict cash flow management and the hiring of specialist resources that have a firm grasp on customs regulation. “Our customers are up-skilling existing management resources and investing in greater levels of experience together with increased warehousing and transport infrastructure. They are creating a core stability to ensure that they can exercise a prudent level of control wherever they can, while retaining the nimbleness required to deal with the vagaries of nontariff barriers (NTBs) as and when they happen,” says Barrow. INSERT & CAPTION With growth comes the need for innovation. – James Barrow