Kathmandu. Currently, there are two reinsurance companies in operation. One is the government-owned Nepal Reinsurance Company (Nepal Re) and the other is the privately promoted Himalayan Reinsurance (Himalayan Re).
According to the data released by the Nepal Insurance Authority for the second quarter (July-August) of the current fiscal year, both these reinsurance companies have invested Rs 40 billion 636.2 million in various sectors. According to which Nepal Reinsurance has invested Rs 21 billion 107.8 million and Himalayan Reinsurance has invested Rs 19 billion 524.8 million.
A large part of the investment of both these reinsurance companies is seen in term deposits of banks. Nepal Reinsurance has a total of Rs 18 billion 42 million in term deposits of banks. Accordingly, Nepal Relay has invested Rs 15.629 billion in Class A term deposits, Rs 260 million in infrastructure banks, Rs 1.753 billion in Class B development banks, and Rs 400 million in Class C financial institutions. The share of banks’ term deposits in Nepal Reco’s total investment is about 85.5 percent.
Nepal Relay has invested Rs. 300 million in government savings and bonds, Rs. 1.36 billion in preference shares, bonds, debentures and bonds of banks and financial institutions, Rs. 94.7 million in ordinary shares of listed public companies, Rs. 55.9 million in citizens’ investment funds and mutual funds, Rs. 596.5 million in other promoter shares, Rs. 507.2 million in shares of unlisted public companies and Rs. 150 million in other sectors.
On the other hand, Himalayan Relay has invested Rs. 13.55 billion in term deposits of Class A banks. This is about 69.5 percent of the total investment.
Similarly, Himalayan Relay has invested Rs 3.65 billion in shares of listed public companies, Rs 1.36 billion in preference shares, bonds, debentures and debentures of banks and financial institutions, Rs 7.5 million in citizens’ investment funds and mutual funds, Rs 900 million in shares of investment companies, Rs 379.7 million in other promoter shares and Rs 600 million in other sectors.
