Activa pushes credit insurance as catalyst for export financing

By Bob Roco ROMEO

Activa International Insurance is positioning credit insurance as a strategic enabler of export financing, as Ghanaian businesses continue to grapple with limited access to affordable capital.

At a forum in Accra, held in partnership with Coface, the insurer engaged exporters, financial institutions and industry stakeholders on leveraging credit insurance to unlock working capital and improve competitiveness in international markets.

The initiative reflects a broader shift from viewing insurance as a post-loss protection tool to a financing instrument capable of de-risking trade transactions.

Unlocking capital through insured receivables

Activa is advocating the use of insured receivables as collateral to support access to credit—an approach expected to benefit small and medium-sized enterprises (SMEs), which remain disproportionately affected by financing constraints.

By mitigating non-payment risks, credit insurance enhances the creditworthiness of businesses and strengthens their appeal to lenders.

Data-driven risk management

Coface Deputy CEO Benoit Gazman emphasised the growing importance of risk intelligence in global trade, noting that sustainable expansion depends on effective cash flow protection and informed decision-making.

With a presence in over 200 markets and insured exposure exceeding €4 billion across Africa, Coface provides data-backed insights that support trade credit decisions in volatile markets.

Growing lender confidence

Financial institutions are increasingly recognising insured receivables as viable security.

Market participants at the forum noted that credit insurance reduces default risk, enabling banks to extend financing on improved terms. This is expected to broaden access to credit for SMEs previously considered high-risk.

Policy alignment and market opportunity

The development comes as Ghana intensifies efforts to diversify exports and leverage opportunities under the African Continental Free Trade Area (AfCFTA).

However, uptake of credit insurance remains low, largely due to limited awareness and misconceptions around cost and applicability.

Outlook

Activa’s collaboration with Coface signals a strategic push to integrate insurance into Ghana’s trade finance architecture.

If scaled, credit insurance could play a critical role in strengthening SME participation in export markets and supporting broader economic growth.

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