International News

   China establishes CIRC
 
   Japanese life insurer to enter Europe
 

China establishes CIRC

China has established the much-awaited China Insurance Regulatory Commission (CIRC) to ensure stable growth of the country’s insurance sector. The new commission will operate directly under the State Council and will function as the administrator of China’s commercial insurance industry. The Commission will also supervise and manage the insurance market  in accordance with related laws and regulations, according to the official Xinhua news agency. The establishment of the CIRC is viewed by experts as a highly significant move to strengthen China’s financial system.

Japanese life insurer to enter Europe

Nippon Life Insurance Co. of Japan will be signing an agreement with Deutsche Bank AG of Germany to jointly develop investment products for the European market. This is expected to  give Nippon Life a competitive edge in Japan’s domestic mutual funds market once it is deregulated by the end of December 1998. According to analysts, Nippon’s strategy is bold considering the floundering financial markets in Japan which has forced almost every financial institution to cut down their overseas operations. This follows close on the heels of the agreement between Nippon and US Asset manager Putnam Investments. This has enabled Nippon to gain foothold in the lucrative American and European markets.