Kathmandu – President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Chandra Prasad Dhakal, has highlighted the significant role of the insurance sector in Nepal’s economic development. Speaking at the 2nd National Insurance Discourse 2025, Dhakal emphasized the timeliness and relevance of such a discussion.

Dhakal stated that the insurance sector is vital for capital formation, stressing its importance in economic progress. “From the perspective of the private sector, there are concerns about high premiums and delays in receiving claims even after paying premiums. I urge attention to these issues,” he said.

He pointed out that approximately 3-4% of the premium collected by insurance companies is deposited in banks and financial institutions. Dhakal recommended that this practice be reconsidered and proposed a directive requiring the insurance sector to allocate a certain percentage of its investments toward infrastructure development.

Dhakal called for greater collaboration between the insurance sector and the private sector, ensuring that premium collections are used effectively to contribute to the nation’s development. He concluded by emphasizing the need for reforms that balance the interests of policyholders, insurers, and the broader economy.