Bangladeshi Finance Minister AMA Muhith has assured insurance companies that the government would reduce fees chargeable on their licence renewal, in a bid to revitalise the sector.
Insurance companies have to renew licences with the Insurance Development and Regulatory Authority (IDRA) every year. They pay BDT3.50 for every BDT1,000 of premium. The insurers are demanding that the fees be cancelled.
Mr Muhith also said that the government would provide incentives for insurance companies to encourage them to design innovative products, reported Daily Star.
He lamented that though the GDP had increased and businesses expanded in Bangladesh, the insurance sector had not progressed much.