Kathmandu. The government of neighboring India has said that opening up the insurance sector to 100 percent foreign direct investment is aimed at achieving the goal of providing access to insurance for all Indians. The Indian government, which has moved forward with the slogan of “insurance for all Indians by 2047”, has increased such investment in the insurance sector from 74 percent to 100 percent.
The Indian government expects the Indian insurance market to grow by 7.1 percent annually over the next five years with the inflow of foreign investment. The Indian government aims to outpace global and emerging market growth based on this growth rate.
According to AsiaInsurance Post, addressing the Lok Sabha, Minister of State for Finance Pankaj Chaudhary expressed confidence that increasing the scope of foreign investment in the insurance sector will help attract stable and sustainable investment and facilitate technology transfer, thereby improving access to insurance across the country. Increased investment will reduce the number of insurers, increase healthy competition and provide a more structured and balanced approach to premium determination.
