The 1 January reinsurance renewals have confirmed the direction of the global reinsurance market for 2026, setting the stage for a firm and stable—yet flexible—strategy that remains largely performance-and results-driven. Several brokers’ reports point to an increase in capital availability, without a relaxation of underwriting discipline, which continues to be a defining theme, particularly for casualty capacity.
The Middle East largely reflects this global dynamic, where the availability of reinsurance capacity is not under significant strain. Nevertheless, regulators and financial centres across the region are actively competing to build capacity and develop their domestic reinsurance markets through various initiatives.
In Saudi Arabia, the Insurance Authority is making notable progress in expanding the reinsurance landscape. Following the entry of a new reinsurer, another is currently in the pipeline, while market sources suggest that direct insurers are exploring the establishment of their own reinsurance branches.
At the same time, the Abu Dhabi Global Market (ADGM) is advancing the development of its reinsurance sector by seeking industry feedback on a proposed insurance-linked securities (ILS) framework—set to be the first of its kind in the region.
The Sultanate of Oman is also moving forward with the establishment of the International Financial Centre of Oman (IFC Oman), envisioned as a dedicated platform for banking, (re)insurance and financial institutions. This initiative forms part of the country’s broader strategy to diversify the national economy, strengthen its position as a global financial services hub, attract capital, and foster innovation.
These developments build on the foundations of existing regional financial centres, which continue to attract capacity from across the globe, reinforcing the view that the MENA region remains a growth market for reinsurance providers.
The insurance industry in the Middle East received a further fillip in January when Saudi Arabia, in a major milestone move, launched the National Insurance Sector Strategy, developed by the Insurance Authority to unlock the sector’s full potential and position the Kingdom’s insurance market among the world’s fastest-growing and most advanced.
This month’s market profile focuses on Oman—a market that possesses all the essential elements for growth, although competitive pressures continue to weigh on operators and, at times, hinder progress.
Our February issue also examines Tunisia as one of the emerging markets in North Africa. Digitalisation stands out as a key theme, with all stakeholders—including the regulator and the national reinsurer—adapting their operating models to keep pace with ongoing technological advancements.
Political instability and geopolitical risks remain a source of concern for the global and regional (re)insurance industry. Uncertainty is at its height as the year has begun with unprecedented events in Venezuela. Expectations of further unrest persist, with the region widely seen as being at the eye of the storm.
Last but not least, as the holy month of Ramadan is going to begin soon, Middle East Insurance Review (MEIR) wishes our readers and friends a blessed month. Muslims observe the month with serenity, and the spiritual atmospheres of sharing and patience is spread across communities. Ramadan Mubarak!
Osama Noor
Editor
Chief Representative
Middle East Insurance Review