MYANMAR: INSURANCE MARKET OPENS UP TO FOREIGN COMPANIES
The Ministry of Planning and Finance of Myanmar has announced the opening of its insurance market to foreign companies. In particular, in the life insurance sector, the Government will issue licenses to three foreign companies, which will be able to operate in the Country with their own ownership structure and with their own capital.
The market will also be open to other foreign players who, however, will necessarily have to form a joint venture with a local partner. Companies operating in segments other than life insurance will be able to conduct business only through joint ventures with local partners. The Financial Regulatory Department of the Ministry of Planning and Finance will assess the manifestations of interest of insurance companies.
This measure is intended to contribute to the development of Myanmar's financial market. According to data provided by the State-owned company, Myanma Insurance, to date the insurance business amounts to about 0.1% of GDP, and only 2 million Burmese out of about 53 million hold an insurance policy. Figures that portend very promising developments in this sector.