Malaysia to further review ownership rules for foreign insurersJune 14 2018 by InsuranceAsia News Staff
Malaysia is expected to review a directive given to foreign insurers to reduce ownership of their local units by nearly a third due to the difficulty of finding domestic buyers for equity stakes.
Press reports have suggested the review may result in the Malaysian regulator deferring the requirement.
If realised, the deferral would benefit foreign insurers operating in Malaysia, such as Great Eastern, Prudential, Tokio Marine and Zurich by postponing deals worth more than US$2 billion that were being imposed upon them.
Malaysia’s central bank, Bank Negara, had previously announced it would enforce its 2009 rule putting a 70% cap on foreign ownership of local insurance businesses.
- September 18
The embedded value of 31 major insurers grew 19.2% in 2017, a recent survey from Milliman shows.
- September 3
The two parties have resolved their dispute, claiming that it stemmed from an “innocent misunderstanding”.
- August 31
The government will offer tax incentives for the industry as it bids to establish the city as a regional hub.
- August 31
Officials in the two countries have agreed to work together on standards, training and regulation.