Insurance Companies are Investing more in Hydroelectricity, Tourism and Agricultural Infrastructure
Kathmandu : The investment of the insurance sector in the country’s infrastructure sector has reached 7 billion. According to the Nepal Insurance Authority, insurance companies have prepared to further increase investment in infrastructure such as hydropower, tourism, and agriculture. Currently there are 14 life and non-life insurance companies in Nepal. Recently, reinsurance and micro insurance companies have also been operating.
Nepal Insurance Authority, seven out of 14 life insurance companies and four non-life insurance companies have invested seven billion 51 million in hydropower, tourism, agricultural infrastructure and commercial buildings. The two reinsurance and six micro insurance companies that are currently operating have not invested in infrastructure. These companies can invest the money collected through various funds and insurance fees in various areas.
Currently, insurance companies can invest in bank deposits, stock market, ordinary shares of listed companies, debentures of public companies, government bonds, mutual funds, real estate, infrastructure etc. There is a provision that the insurance company can invest up to 10 percent of the technical reserve in the infrastructure.
Currently, the insurance sector has around 7 billion in long-term and short-term investment funds. The Insurance Authority has informed that only seven billion have been invested in the infrastructure sector.
How much investment of which insurance company in infrastructure?
Life insurance
National Insurance Institute: Four billion 87 million 17 thousand.
Asian Life: 1 billion 44 million 2 million
San Nepal Life: 98.2 million
Prabhu Life: 6 crores
Sanima Reliance Life: Five crores
Nepal Life: 45.4 million
Citizens Life: 29 million
Non-life insurance
Shikhar Insurance: 22 crores 61 lakhs
Saliko: 12 crore 25 lakhs
Prabhu Insurance: 46 million
IGI Prudential: Two crores
Former government-owned National Insurance Institute and now converted into a company, National Life Insurance Company Limited has invested more in Upper Tamakoshi, HIDCL and Hydropower Generation Company.