What is CIMA? The same laws A single supervisory authority Thirteen countries from West & Central Africa

Assets regulation Kind of assets äLimits by classes äDiversification requirements Place of these assets äMember States

"Without Risk" Assets Bonds issued by member states Minimum 15 % Maximum 50%

Liquid Assets Bank deposits Maximum 40%

Financing of the economy Private bonds & listed shares Maximum 40 % Real estates Maximum 40 % Non listed shares Maximum 40 % Direct loans Mortgage Loans guaranteed by a bank Maximum 10 %

A mainly conservative regulation Safe, Liquid & profitable assets State bonds are regarded as typical « without risk » asset Listed Shares are in principle liquid Bank deposit are safe and liquid when banking system is sound.

Some problems äWeakness of public finances and banking system äLow activity of markets

äStates: some have too often payment difficulties äState bonds are not enough liquid. äBanking system: too many failures Weakness of public finances and banking system

Low activity of markets äAbidjan Stock market has a very low activity äReal estate markets are weak in many towns äOther investments: Lack of safety & liquidity

Local Assets On a pure prudential approach it would not be necessary These countries belong to a monetary area But there is a strong willingness from the political authorities that the investments of the insurance companies were helpful for the local economy

Which solutions ? A better financial & economic stability Reliable banking sector Sound public finances

At long term Actually working markets