Life Insurance Companies Expand Capital Market Investments, Himalayan Life Leads with Rs 10 Billion

Kathmandu – Life insurance companies in Nepal have significantly expanded their investments in the capital market, channeling billions into shares of listed companies across various sectors. According to the Nepal Insurance Authority (NIA), the 14 life insurance companies currently in operation purchased shares worth Rs 30.52 billion in the secondary market up to the end of Ashar of the last fiscal year. This marks an increase of more than 59.58 percent compared to the same period of the previous fiscal year, when investments stood at Rs 19.12 billion.

Among the insurers, Himalayan Life Insurance emerged as the largest investor, with an investment of Rs 10.85 billion, reflecting a 91.71 percent increase from the previous year. The company has diversified its portfolio by purchasing shares of companies offering strong returns across multiple sectors. Nepal Life Insurance ranked second, with investments worth Rs 4.12 billion, up by 42.81 percent from the previous fiscal year.

Other insurers also made notable moves. Suryajyoti Life Insurance invested Rs 2.92 billion, while LIC Nepal allocated Rs 2.34 billion to secondary market shares. Sun Nepal Life Insurance invested Rs 1.51 billion, Reliable Nepal Life Insurance invested Rs 1.47 billion, National Life Insurance and Citizen Life Insurance allocated Rs 1.33 billion and Rs 1.29 billion, IME Life Insurance with Rs 1.22 billion, and Prabhu Mahalaxmi Life Insurance invested Rs 1.15 billion during the review period.

Smaller but significant contributions came from Sanima Reliance Life Insurance (Rs 990.2 million), Asian Life Insurance (Rs 864.3 million), and the Rastriya Jeevan Beema Company (Rs 546.2 million).

In terms of growth rate, Citizen Life Insurance topped the list with a staggering 339.41 percent increase in its capital market investments compared to the previous year. It was followed by Sun Nepal Life Insurance (157.66 percent), National Life Insurance (152.67 percent), and Suryajyoti Life Insurance (129.08 percent).

Notably, MetLife Insurance, the American life insurer operating in Nepal, has not invested in the domestic secondary market and was therefore excluded from the NIA’s data.