Agricultural Insurance in Ethiopia Remains Limited to Pilot Projects

According to Dr. Fikru Tsegaye from the Ethiopian Reinsurance Company (Ethio-Re), agricultural insurance in Ethiopia has remained largely confined to pilot projects for nearly 30 years. Most existing initiatives in the sector have been fragmented and dependent on donor support, lacking a cohesive national institutional framework. To address these challenges, the Ministry of Agriculture has established a new Rural Finance Unit aimed at mobilizing resources and expanding coverage. Dr. Fikru noted that neighboring countries like Uganda and Rwanda have successfully implemented agricultural insurance subsidies ranging from 40% to 80%, providing a potential model for Ethiopia to follow.