Xinhua News Agency has reported that the China Banking Regulatory Commission has granted Hannover Re’s Shanghai Branch approval an additional 1.5 billion yuan ($212 million) to its registered capital.
This increase brings total registered capital to 4.1 billion yuan ($577 million).
Earlier in September 2019, Hannover Re had added an additional 1.55 billion yuan of registered capital, brining the total amount to 2.55 billion yuan ($352 million).
Hannover Re has recently seen its Shanghai branch undergo rapid growth, providing some positivity around the Chinese reinsurance market as COVID-19 continues to shock to the global economy.
This announcement comes as CBIRC continues to promotes the healthy development of foreign reinsurance companies’ business in China, in an effort to improve its marketisation and internationalisation.
With the Chinese reinsurance market scaling up rapidly in recent years, international investors have enhanced investment to meet the rising demand.
They have increased investment in the Chinese market, applied for opening institutions, and increased capital strength to meet the needs of the Chinese market and enhance their business development capabilities.
