Country may see the first batch of private insurers by Diwali
New Delhi: According to an announcement made by the minister of state for finance, the first batch of private sector companies getting insurance licences may get set to tee-off by Diwali.

While the government has made it clear that it will not stand as a guarantor for the sum invested in insurance companies policies, it will certainly put prudential norms for investment, accounting, revenue recognition, fair value of assets and liabilities guiding the investment of common people. The government is also said to be planning to come up with an outer limit within which insurance claims should be settled. The government is also working on improving the insurance ombudsman scheme to ensure that there is faster redressal of consumer grievances.

While speaking of the vast insurance potential in the Indian market, the minister stressed on the element of social development for the new players and stated that these private companies shuold introduce products for the agriculture sector. He urged insurance companies to work closely with the cooperative societies to come up with suitable products and increase insurance penetration in the rural area.
Back to News Review index page  

Singapore Telecom scraps cap on foreign ownership
Singapore: In keeping with the Singapore government’s initiative to liberalise the country’s telecommunications sector, Singapore Telecommunications has scrapped its long-standing 49-per cent cap on foreign ownership. It has however, retained the 15-per cent limit on individual foreign shareholdings. Buyers hoping to exceed the 15-per cent limit had to seek approval from Singapore's finance minister.

SingTel shareholders approved the removal of the 49-per cent cap at an extraordinary general meeting held on Monday.

Several leading players, including German giant Deutsche Telekom, US firms SBC Communications, Qwest Communications International and Verizon Communications are said to be among the potential buyers interested in a stake in Singapore Telecom.

SingTel, which is 78-per cent government owned, lost its longtime monopoly on the wealthy island republic's fixed-line and international call market in April, when the government opened the telecom sector to full competition.
Back to News Review index page