The Insurance Development and Regulatory Authority is likely to start issuing licences this week to 10-12 aspirants among the 75 applicants as the hearing in
this regard ended on Thursday, officials concerned said.
‘All the procedures have ended, now we are at the final stage to issue licences among the aspirant companies,’ an IDRA official told New Age on Thursday.
‘The Prime Minister’s Office is directly handling the process of issuing licences for new insurance companies. Instruction from the PMO has already been given to IDRA chairman M Shefaque Ahmed. Now the chairman will do it according to the directive,’ he said.
The IDRA received 77 applications between April and May after it had sought applications for new licences in April. Finally, 75 applications were primarily selected for hearing.
The hearing of the aspirant companies were held in June 16-20.
The government has allegedly taken the move to give more insurance licences to ruling party high-ups and businesses with strong political link ahead of the end of its tenure.
There are 62 insurance companies currently operating in the country, of which 44 are general and 18 are life insurance companies.
Although the IDRA has not made it clear about the number of licences it plans to give, finance ministry sources said up to 12 new licences for life insurance might be given.
Earlier, another Awami League-led government had issued 11 licences for new insurance companies in 1996-2001, with three given on the last day of the government under controversial circumstances in 2001.
The present government also recently took a move to award licences for nine commercial banks to ruling party high-ups and businesses with political links.
-With New Age input
