German reinsurance giant Munich Re has become the first foreign reinsurer to be awarded a license to conduct ReTakaful business in Malaysia.
The Bank Negara of Malaysia, the supervisory authority of the country, has granted Munich Re a composite license to conduct ReTakaful business. Crucially this license entitles the German insurer, independently of any joint venture, to offer ReTakaful solutions to its clients.
The development comes as Munich Re is looking to take advantage of the widely forecast boom expected for Takaful and ReTakaful business in the Asia-Pacific region.
In addition to and in anticipation of being granted the license, Munich Re has already been active in product development and favorably positioning itself with regard to the growing number of competitors for Takaful insurance in Southeast Asia and beyond.