Intends to bring in more foreign investments into the insurance sector
The Government of India has stated that it is in favour of passing the Insurance Amendment Bill, which intends to bring in more foreign investments into the sector – reported Reuters.
Reportedly, the decision to bring in more foreign investments was declared by Junior Finance Minister, Namo Narain Meena.
He said: They are under preparation and being given final shape for discussion in parliament.”
The existing laws of India allow 26% foreign holding in the insurance companies. The foreign holding will increase to 49%, provided the bill is passed by the government.
As per the data of Insurance Regulatory and Development Authority (IRDA), India has 22 life insurance companies, 21 non-life firms, and one reinsurer.