Legal framework vital for insurance sector: Swapon

Information and Broadcasting Minister Zahir Uddin Swapon said on Tuesday that bringing the insurance sector under a strong and well-defined legal framework is essential to restore public confidence and accelerate the pace of the modern economy.

He said, "No modern economic transaction can operate solely on the basis of trust or distrust. A time-befitting legal framework must be developed to assure citizens and enhance public confidence in this sector."

The minister said this while addressing as the chief guest the 42nd founding anniversary programme of National Life Insurance PLC at the Officers' Club in the capital this afternoon.

He said, "Insurance is not only a service-oriented activity, it is also one of the key components of accelerating the country's economy. When an ordinary citizen or entrepreneur receives life security and insurance protection, they feel secure about the future.

At the same time, they can utilise their talent and initiative in a well-planned manner. In this way, collective efforts create a major leap and momentum in the country's economy."

Highlighting the economic irregularities of the previous regime, the minister said, "Under the leadership of Prime Minister Tarique Rahman, the present government did not assume office merely to run the country in a conventional manner. We inherited a fragile economy. We have to identify how much money was laundered abroad, how much remained outside the tax system, and how much could not be brought under the revenue net."

He further said, "Even before assuming office, we identified various problems of the state. Unless these problems are reformed and repaired now, it will not be easy to achieve the core objective of resolving them."

The minister called upon the Bangladesh Insurance Association to place the existing problems of the insurance sector specifically before the Finance Minister.

He also urged all concerned to work shoulder to shoulder with the government to further expand the insurance sector and develop a stronger policy framework.

Chaired by National Life Insurance Chairman Tofazzal Hossain, the programme was attended, among others, by Bangladesh Insurance Association (BIA) President Sayeed Ahmed, MP, as the special guest.

National Life Insurance CEO Md Kazim Uddin delivered the welcome address at the beginning of the programme.

Senior officials of the insurance sector and business leaders were present at the event.