Why higher FDI threshold could deepen, widen market for insurance products

Budget 2021 raised the FDI limit in the insurance sector from 49 to 74 per cent

Topics
Insurance Sector | FDI in insurance | Budget 2021

Subhomoy Bhattacharjee  |  New Delhi 

The Budget announcement raising the foreign direct investment (FDI) limit in the insurance sector from 49 to 74 per cent is bound to be welcomed by the White House. President Joe Biden gets a high approval rating from the US insurance universe which appreciates his strong support for a pan-national health cover, quite the opposite of former President Trump’s policies.

Naturally, he had got much more campaign finance from the industry. So it was obvious that at some stage he was going to back US insurers’ quest for a larger space in the Indian insurance market. For years, ...

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First Published: Thu, February 04 2021. 06:10 IST
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