Indonesia: Regulator mulls loosening ownership rules in reinsurance sector
Source: Asia Insurance Review | Jun 2025
Indonesia’s Financial Services Authority (OJK) is reviewing the current 80% cap on foreign ownership in the reinsurance sector, in response to a widening deficit in the country’s reinsurance balance of payments.
The deficit stood at IDR12.1tn ($734m) last year, marking a continued increase in recent years. Mr Ogi Prastomiyono, OJK’s executive chairman for Insurance, Guarantee, and Pension Fund Supervision, said the growing deficit reflects the domestic industry’s dependence on foreign reinsurers operating outside Indonesia, reported the news website,
Mediaasuransinews.co.id
“We’re working with relevant ministries to explore regulatory relaxation that would allow multinational reinsurance companies to open branches in Indonesia,” he said at a media conference. A