- From Insurance Operations to Strategic Leadership
Your career spans nearly two decades, starting as an Operations Officer in Ethiopian Insurance Corporation managing underwriting and claims for Ethiopian Airlines, and now serving as Executive Officer for Strategy and Business Development at Ethiopian Reinsurance. What were the key turning points in your career that shaped your leadership trajectory? What drove your shift from operations to strategy?
It was more of a gradual journey. I started from the operational side of insurance, working with underwriting and claims. That was actually a very important foundation for me because it allowed me to understand insurance from the ground up. You learn very quickly that insurance is not just about selling a policy. It is about understanding risk, pricing that risk properly, managing claims, dealing with customers and ultimately keeping a promise.
My early experience with major institutional risks, including Ethiopian Airlines, taught me to appreciate the technical side of the business. But as I became more senior, I started asking broader questions.
Why are some products successful and others not? Why is insurance penetration so low? Why do some organizations grow faster than others? How can insurance contribute more to economic development? How can we retain more risk capacity in Ethiopia? And, perhaps most importantly, where should our organizations be five or ten years from now?
Those questions gradually moved me from operations toward marketing, strategic management, microinsurance and eventually strategy and business development.
One thing I learned along the way is that strategy cannot be separated from operations. If a strategy looks good in a boardroom but cannot be implemented by underwriters, claims professionals, finance teams, marketers and other employees, then it is not really a strategy.
My current role at Ethiopian Reinsurance has given me the opportunity to look at the industry from a much broader perspective. I now think about markets, partnerships, products, regulation, technology, people, capital and long-term institutional sustainability.
And the insurance environment is changing very quickly. Globally, insurers are dealing with climate risk, cyber risk, geopolitical uncertainty, artificial intelligence, alternative forms of risk transfer and changing customer expectations.
Africa has another dimension: we have enormous risks but relatively limited insurance and reinsurance capacity.
That is why I increasingly see strategy as answering three questions:
Where are we today? Where do we want to go? And, realistically, what capabilities do we need to get there?
That shift in perspective—from managing today’s operations to shaping tomorrow’s possibilities—is what really drove my transition into strategy.
- Reinsurance and Islamic Finance: The Connection
You hold an MA in Islamic Banking and Finance alongside an LLM in Law. How does Islamic finance intersect with the reinsurance industry? Given that Takaful is still developing in Africa, how does Ethiopian Reinsurance approach this market segment?
For me, the connection between Islamic finance and insurance is quite natural because both are ultimately concerned with managing financial risk. The important distinction is how that risk is structured.
In conventional insurance, the insurer generally assumes the risk in exchange for a premium. Takaful is based more fundamentally on cooperation and mutual risk sharing, with participants contributing to a fund that is used to compensate eligible losses. There are also important principles concerning excessive uncertainty, gambling, interest and investment in non-Shariah-compliant activities.
But I would make one point very clearly: Takaful should not be viewed simply as “insurance for Muslims.” It is an alternative model of risk management and ethical finance. Its principles of mutuality, transparency and responsible investment can have broader relevance. For reinsurance, this leads naturally to Retakaful.
As Takaful operators grow, they need risk-transfer capacity, and that is where Retakaful becomes important. Africa presents a particularly interesting opportunity because the continent has a very large Muslim population, while several African markets are already developing Islamic banking, Takaful and Islamic capital-market activities.
Ethiopia is also entering an important period of development in this area. The regulatory framework has created room for Takaful operators and Takaful windows, and the market is still at an early stage. That is actually what makes it exciting. When a market is mature, you are often competing for existing business. When a market is at an early stage, you have the opportunity to help build the market itself.
From a reinsurance perspective, I believe we need to think beyond simply providing capacity. We should also think about knowledge, product development, technical expertise, Shariah governance, actuarial capacity and partnerships. Ultimately, I see a possible ecosystem developing around:
Islamic banking + Takaful + Retakaful + Islamic capital markets + Sukuk + microfinance.
That ecosystem could become particularly relevant for financial inclusion in Ethiopia. But we must bePragmatic. Takaful will only succeed if it is commercially sustainable, professionally managed, well regulated and genuinely responsive to customers.
- The Role of Strategy in State-Owned Institutions
You’ve been instrumental in strategy development at Ethiopian Reinsurance, a state-owned enterprise. What are the unique challenges of implementing strategic change in a state-owned entity compared to a private one? How do you balance commercial objectives with national development goals?
Ethiopian Reinsurance is a company established under the public private partnerships’ modality. The stake of government is up to 40%. But to answer your question, a state-owned institution has a wider responsibility. You have shareholders, but you also have national economic objectives, public-interest considerations, regulatory responsibilities, employees and other stakeholders. In fact, if properly governed, a state-owned enterprise can play an important role in national development.
The challenge is finding the right balance. For me, the answer is commercial discipline combined with a clear development mandate. A state-owned company cannot use national development as an excuse for poor financial performance. At the same time, it should not pursue short-term profit at the expense of its broader strategic role.
In reinsurance, this balance is particularly important.
A reinsurer contributes to the economy by helping insurers retain more risk locally, supporting large infrastructure and commercial risks, developing technical capacity and reducing unnecessary dependence on external markets.
So when I think about strategy, I don’t ask only, “How much premium will we write?”
I also ask:
- Are we building local risk capacity?
- Are we developing people?
- Are we supporting innovation?
- Are we helping expand insurance penetration?
- Are we retaining more value within Ethiopia?
- Are we preparing for the risks of the future?
The other critical issue is governance. The owners, board, regulator and management need to understand their respective roles. The board should provide strategic oversight, management should execute, and regulation should remain independent. If those lines become blurred, strategy becomes difficult. So my view is that a state-owned enterprise should be commercially strong, professionally managed and development-oriented. Those objectives do not have to contradict each other.
- Acting CEO Leadership Experience
You’ve served as Acting Chief Executive Officer of Ethiopian Reinsurance on two separate occasions. What was the most important leadership lesson you learned from stepping into that role? How did it change your perspective on organizational leadership?
Serving as Acting CEO of Ethiopian Reinsurance on two different occasions—first in 2021 and again in 2025—was one of the most important leadership experiences of my career. The two assignments were different because the circumstances and priorities of the company had evolved, but both gave me the opportunity to move from advising on strategy to taking direct responsibility for implementation and institutional decisions.
The first experience in 2021 was particularly important because it was a period when I was thinking very seriously about the future positioning of Ethiopian Reinsurance. One of the strategic decisions I worked on during that period was the strategy for Ethio-Re to expand beyond the domestic market and enter foreign markets. I believed that if Ethio-Re wanted to become a stronger African reinsurer, we could not remain focused only on the Ethiopian market. We needed to build the capability, credibility and financial strength to participate more actively in international reinsurance business.
As part of that strategic direction, I worked toward obtaining international credit ratings, including from Global Credit Rating (GCR) and AM Best. For me, this was not simply about having a rating displayed on our corporate profile. It was about building international credibility.
In reinsurance, reputation and financial strength are extremely important. When you approach an international cedant or broker, one of the questions they naturally ask is: Who are you, what is your financial strength, and can you meet your obligations when a major loss occurs?
So I saw international credit rating as part of a broader strategy of internationalization, credibility and market access.
During that first tenure, I was also involved in the company’s digitalization agenda and IT project. I recognized that the traditional way of doing business would not be sufficient for the future. Reinsurance increasingly depends on data, speed, information quality, portfolio analytics and efficient communication with cedants and brokers.
I also worked on introducing a new employee benefits package and structure, because I strongly believe that transformation cannot happen without people. You can have a good strategy and good technology, but if you cannot attract, motivate and retain capable professionals, the strategy will not be sustainable.
When I returned as Acting CEO in 2025, my perspective was even broader.
One of the things I prioritized was again people and institutional capacity. I commissioned a further enhancement of the company’s employee benefits package because I believed that attracting and retaining key talent had become increasingly important in a competitive financial-services environment.
I also took part in important decisions concerning the future physical infrastructure of Ethio-Re.
One of the major achievements during this period was securing a plot of land for the construction of a new headquarters and investment building.
For me, this was much more than acquiring land.
I made a strategic decision that Ethio-Re should increasingly think about owning its own long-term corporate and investment infrastructure rather than continually depending on rented premises.
If we look at the decision from a long-term institutional perspective, owning a headquarters and investment building can provide several benefits: it creates an institutional asset, reduces long-term dependence on rental premises, potentially generates investment income, strengthens the company’s balance sheet and creates a permanent physical identity for the institution.
In other words, I was thinking not only about what Ethio-Re needed during my tenure, but about what kind of institution we should leave for the next generation.
Another important responsibility during my second tenure was strengthening the management team by recruiting key personnel to lead critical functions of the company.
Looking back, the two Acting CEO assignments taught me that leadership is ultimately about making decisions that may not produce immediate results but can fundamentally strengthen an organization over the long term.
The international-market strategy and credit-rating agenda were about positioning Ethio-Re beyond Ethiopia.
The digitalization initiative was about preparing the company for the future. The employee-benefit reforms were about people. The recruitment of key personnel was about leadership capacity. And the acquisition of land for the new headquarters and investment building was about creating a long-term institutional asset. These experiences changed my understanding of leadership.
When you are an executive, you naturally think about your area of responsibility. When you become CEO, you have to think about the whole institution and its future. You begin asking different questions:
What will this decision mean five years from now? What capability are we building? Are we creating an asset or simply solving today’s problem? Are we developing people who can lead tomorrow? Are we strengthening the institution beyond the tenure of any individual?
That, for me, is the essence of executive leadership.
And perhaps the most important lesson I learned is that leadership should be measured not only by what you accomplish while you are in office, but also by what you leave behind when you leave.
I am eagerly anticipating my third term! Currently, I am prepared to take on greater leadership roles within the African insurance and reinsurance sector, beyond Ethiopia!
Strengthened Career Perspective
These experiences also explain why my career gradually moved from operations toward strategy and institutional leadership.
My early career taught me how insurance works operationally.
My subsequent roles taught me about marketing, strategy, microinsurance and business development.
My experience at Ethio-Re taught me about reinsurance and international markets.
And my Acting CEO assignments taught me how all of these pieces come together when you are responsible for the future of an entire institution.
That is why I now view strategy very differently.
For me, strategy is not just about writing a strategic plan.
Strategy is about making choices.
Sometimes those choices involve entering new markets.
Sometimes they involve investing in technology.
Sometimes they involve investing in people.
Sometimes they involve acquiring long-term assets.
And sometimes the most important strategic decision is to recruit the right person to lead a critical function.
The real test is whether those decisions collectively make the institution stronger, more competitive, more resilient and more sustainable.
Strengthened Closing Perspective
When I reflect on my leadership journey at Ethio-Re, one thing I am particularly conscious of is the importance of thinking beyond the immediate horizon.
An executive can easily focus on the next year’s budget, the next quarter’s results or the next operational challenge.
But institutional leadership requires a longer perspective.
When I worked on the strategy for Ethio-Re to enter foreign markets and pursue international credit ratings, I was thinking about the company’s international credibility.
When I worked on digitalization, I was thinking about the company’s future operating model.
When I strengthened employee benefits and recruited key personnel, I was thinking about human capital.
And when I made the strategic decision to secure land for a new headquarters and investment building, I was thinking about institutional assets and the future physical and financial foundation of Ethio-Re.
So, if I were to summarize my leadership philosophy in one sentence, I would say:
My responsibility as a leader is not simply to manage what exists; it is to build what the institution will need tomorrow.
That is the perspective I try to bring to strategy, business development, governance and leadership—whether at Ethiopian Reinsurance, in the broader insurance industry, or in my board and professional responsibilities.
- Building Capacity in African Insurance Markets
Your profile speaks to a mission of contributing to Ethiopia, Africa, and the planet. From your experience, what are the most critical capacity gaps in African insurance and reinsurance markets? How can institutions like Ethio-Re help address these gaps?
If you ask me what Africa’s biggest insurance challenge is, I would say it is not simply capital.
It is capacity.
We need more technical capacity, institutional capacity, regulatory capacity, technological capacity and leadership capacity.
We need actuaries, underwriters, risk engineers, claims specialists, investment professionals, insurance lawyers, data scientists and people who understand both insurance and technology.
But capacity is not only about individuals.
We also need stronger institutions.
We need stronger insurers, reinsurers, regulators, professional associations, research institutions and training organizations.
And we need to think seriously about technology.
Artificial intelligence, satellite data, mobile technology, digital payments and data analytics can completely change how insurance is designed and distributed.
For example, a smallholder farmer who has never visited an insurance office may be able to access a simple agricultural insurance product through a digital platform.
That is a very different model from traditional insurance.
Another major gap is research.
Africa should not always import insurance models developed for completely different economies.
Our risks are different.
Our agricultural systems are different. Our income structures are different. Our informal economy is different. Our climate risks are different.
So we need African solutions to African problems.
This is where I think institutions such as Ethio-Re can play a bigger role.
A reinsurer is not only a risk-transfer institution. It is also a knowledge institution.
We can help develop products, train people, support research, share technical knowledge, build partnerships and create capacity among primary insurers.
And we should think beyond Ethiopia.
Africa needs stronger regional cooperation and harmonized approaches to insurance regulation, cross-border business and risk management.
If we can combine technology, capital, knowledge and regional cooperation, I believe Africa can significantly increase its insurance capacity.
- Islamic vs. Conventional Insurance
From your perspective, what do you see as the most significant operational differences between conventional insurance/reinsurance and Takaful? What are the biggest misconceptions that conventional insurance professionals have about Islamic insurance products?
The first thing I would say is that both conventional insurance and Takaful are trying to solve a similar economic problem: how do we manage risk and protect people and businesses from financial loss?
The difference is in the underlying structure and principles. Takaful places greater emphasis on mutual assistance and risk sharing. There are also differences concerning investment, surplus, contractual relationships and Shariah governance.
But operationally, Takaful still needs many of the same professional capabilities that conventional insurance requires. You still need good underwriting.You still need actuarial analysis. You still need claims management. You still need investment management.
You still need risk management. You still need technology and good customer service.
One misconception I have encountered is that Takaful is somehow less sophisticated.
I don’t agree with that at all. A well-run Takaful operation can be extremely sophisticated.
Another misconception is that Takaful is only relevant to Muslims. Again, I don’t think that is the right way to look at it. There are people who are interested in ethical finance, transparency and mutuality regardless of their religious background. A third misconception is that Takaful automatically means cheaper insurance.
That is not necessarily the case. Pricing still depends on risk, claims, expenses, investment performance, distribution and scale. So I would encourage conventional insurance professionals to approach Takaful not as a competitor to be dismissed, but as another model that deserves to be understood professionally.
- Research, Publication and Thought Leadership
You are an award-winning author and have been involved in research and publication through the Society of Insurance Professionals. How does your research work inform your strategic decision-making? What role does thought leadership play in building a company’s reputation?
Research has become an important part of my professional life because I believe good decisions should be informed by evidence. For me, there is a very simple relationship:
Research gives us evidence; strategy turns that evidence into decisions.
My research interests have included insurance, Takaful, microinsurance, financial inclusion, regulation and financial-sector development. Research also forces you to challenge assumptions.
Sometimes we say, “This is how the market works,” simply because that is how we have always done things. Research asks: Is that actually true?
That is very useful for strategic management. I also believe that insurance companies, particularly reinsurers, should contribute to knowledge. Why? Because reinsurance is fundamentally a knowledge business. If you understand emerging risks earlier, you can develop better products, price risks better and support your clients more effectively.
Thought leadership also matters for corporate reputation. There is a difference between saying, “We are a leading company,” and actually demonstrating leadership by contributing ideas, publishing research, participating in industry discussions and helping solve problems.
I am proud of the recognition I have received for my work, but for me the real value of research is not the award. It is whether the research can influence policy, improve products, strengthen institutions or contribute to the development of the industry.
That is how I define meaningful thought leadership.
- Microinsurance and Financial Inclusion
You’ve led microinsurance initiatives aimed at poor farmers, engaging development partners, academia and research centers. How does insurance contribute to financial inclusion and poverty alleviation? What potential does Islamic microfinance or micro-Takaful hold for similar communities?
This is an area I feel very strongly about. If you look at a low-income farmer, the problem is not simply that the farmer has low income. The farmer is also exposed to enormous risks.
Drought, flood, pests, disease and market shocks can destroy years of progress. Imagine a farmer who loses a crop after a severe drought. Without insurance, that farmer may have to sell livestock, borrow money, reduce household consumption or take children out of school. So insurance is not simply compensation. Insurance protects development gains. That is why I see insurance as part of financial inclusion.
In Ethiopia, the opportunity is enormous because insurance penetration remains very low compared with the size of the economy and population.But we cannot reach low-income communities simply by selling traditional insurance products through traditional channels.
We need new approaches. We need mobile technology, digital payments, cooperatives, microfinance institutions, agricultural value chains, development partners and government support. I am particularly interested in parametric insurance. For example, if a predefined rainfall or weather index reaches a certain trigger, payment can be made without waiting for a lengthy traditional claims assessment. For a farmer, speed matters enormously. And this is where Micro-Takaful could become interesting.
It could combine community-based risk sharing with Islamic finance and financial inclusion. But we need to be careful not to make these products too complicated.A poor farmer does not want a 30-page insurance contract. The product has to be understandable, affordable and trusted. Ultimately, our objective should not only be financial inclusion.
It should be financial resilience. People need access not only to savings and credit, but also to insurance that protects them when something goes wrong.
- The Board Perspective
You currently serve as a member of the Board of Directors of the Ethiopian Securities Exchange. How does your experience in insurance and reinsurance inform your governance role at the ESX? What opportunities do you see for Islamic finance products being listed on the exchange in the future?
My insurance and reinsurance experience gives me a useful perspective because insurance and capital markets are closely connected. Insurance companies collect premiums today to meet liabilities that may arise many years later. That means they need appropriate long-term investment opportunities. A developed capital market can give insurers greater opportunities for diversification, liquidity and asset-liability management.
At the same time, insurance companies themselves can become important institutional investors in the capital market. That is one reason I see the development of the Ethiopian Securities Exchange as very important for the wider financial system. We are now seeing the Ethiopian capital market develop rapidly. ECMA has registered securities of several insurance companies in 2026, including Global Insurance, Hibret Insurance and NIB Insurance. That is an important development because it brings insurance into the emerging capital-market ecosystem.
ESX has also identified insurance companies and other institutional investors as important participants in developing long-term investment and secondary-market liquidity. From the Islamic finance perspective, I see potential opportunities, but I would be careful not to get ahead of the regulatory framework. One area is Sukuk. Another is Islamic investment funds. Another is investment products associated with Takaful. But for these products to develop successfully, we need the appropriate legal, tax, regulatory, accounting and Shariah-governance frameworks. I see the opportunity as much broader than simply listing Islamic products. I see the possibility of connecting:
Islamic banking + Takaful + Retakaful + Sukuk + Islamic investment funds + the capital market.
That would give Ethiopia a more diversified financial ecosystem. And from a governance perspective, my insurance background also reinforces something very important: markets only develop when investors trust them. That means strong governance, transparency, investor protection, proper disclosure and professional management are essential.
- Advice for Aspiring Leaders in African Insurance
With your PhD and multiple master’s degrees and extensive leadership experience, what advice would you give to young professionals aspiring to build careers in insurance, reinsurance, or Islamic finance in Africa? What skills should they prioritize?
I would start by saying: My focus was on not only on collecting qualifications it was on building my capability. I also believe in lifelong learning. But I don’t think that I have contributed a lot still I have a huge and burning interest to serve Africa and the Ethiopian insurance industry holding leadership roles, I belibve that I did not get the chance so far to prove my capability. My first advice to young professionals is to develop strong technical foundations.
Second, is to develop digital skills as the insurance professional of the future cannot ignore artificial intelligence, data analytics, digital distribution, cybersecurity and InsurTech.
Third, develop strategic thinking and Don’t only ask: “What is my responsibility?”
Ask: “What is happening in the market, where is the industry going, and what should my organization do differently?”
Fourth, learn to communicate. I have seen technically excellent people struggle to advance because they cannot communicate their ideas effectively. Learn to write, Learn to present, Learn to negotiate and Learn to listen.
Fifth, develop an African perspective and Don’t limit your learning to Ethiopia. There is so much to learn from what is working—and what is not working—across the continent.
Sixth, develop relationships. Insurance is a relationship business. Your professional network will become extremely valuable over time. But there is one final thing I would emphasize above everything else:Integrity. Insurance is fundamentally a promise business. People and companies pay money today because they trust that the insurer will be there when a loss occurs. If we lose trust, we lose the foundation of the industry.
So my message to young professionals is:
Learn continuously. Be curious. Understand technology. Understand Africa. Build relationships. Take responsibility early. Share knowledge. And protect your integrity.
You don’t have to become a CEO tomorrow. Start by becoming the person your organization can trust with increasingly difficult responsibilities. That is how leadership develops.
Closing Reflection
If I look at my career—from insurance operations, through underwriting, claims, marketing, strategic management, microinsurance, reinsurance, strategy and business development, and my broader work in finance and capital markets—I see one common thread.
It is the belief that insurance can do much more for Ethiopia and Africa than it is doing today. Africa has enormous risks, but our insurance markets remain relatively small. Ethiopia is a particularly interesting example. The market is growing, new regulatory and capital-market institutions are emerging, Takaful is developing, and technology is creating new possibilities. So I am optimistic. And above all, we need leaders who are willing to think beyond today’s business. For me, the future is not simply about selling more insurance. It is about building a stronger risk-management ecosystem connecting insurance, reinsurance, Takaful, capital markets, agriculture, climate finance, technology and financial inclusion. If we can do that, insurance can become much more than a financial service. It can become an important instrument for economic resilience, investment, inclusion and sustainable development in Ethiopia and across Africa. That is the direction in which I believe we should be moving.