Regulatory Alerts2026-03-25
SIB/64/2026 – External Auditor of an Insurance Company
The National Bank of Ethiopia issued Directive No. SIB/64/2026 to standardize the appointment, qualifications, and independence of external auditors for all licensed insurance companies and reinsurers operating in Ethiopia. The directive mandates competitive bidding for auditor selection, limits appointments to a maximum of two consecutive three-year terms with a mandatory three-year cooling-off period, and requires formal regulator approval within twenty working days of appointment. Insurers must submit audited financial statements and comprehensive management letters detailing control weaknesses, fraud, and solvency risks to the regulator within three months of year-end, while simultaneously publishing core disclosures on their official websites within two weeks of audit approval.