Chinese for cooperating with Pakistan in insurance sector

LAHORE: The insurance industry of Pakistan has great potential and Chinese companies are eyeing investment in this sector, said Pak-China Joint Chamber of Commerce and Industry (PCJCCI) President Wang Zihai.

At a virtual meeting of the PCJCCI executive committee on Thursday, he emphasised that investment in the insurance industry of Pakistan would bring Chinese-style reforms to the sector, thus paving the way for economic transformation and growth.

“There is a huge potential in the insurance sector of Pakistan, which has been magnified in the wake of China-Pakistan Economic Corridor (CPEC), and it can be a new sector of collaboration between the two countries,” he said.

On the occasion, PCJCCI Senior Vice President Ehsan Choudhry highlighted that the insurance industry of Pakistan contributed around 0.25% to the gross domestic product (GDP).

Citing financial statistics, he said, “The growth rate of life insurance companies in Pakistan has been maintained in the range of 55-70% in terms of net premium and assets.”

He agreed that there was a huge potential for the development of life insurance business, “provided it meets true needs of people and offers them protection from economic downturn”.

He assured full support to Chinese companies in tapping insurance policies of Pakistan for managing and indemnifying financial risks.

PCJCCI Vice President Sarfraz Butt voiced hope that Chinese companies would find a favourable insurance business environment in Pakistan.

“Due to Chinese investment, Pakistan will get a dependable source in the insurance sector,” he added.

PCJCCI Secretary General Salahuddin Hanif informed the participants that Pakistan had great potential in the insurance industry, as the sector had been showing growth over the past few years.