Register | Forgot password?
Switch to Arabic
Wednesday, November 25 - 2009

Malaysian takaful market benefits from established regulatory and legal environment, says S&P

  • United Arab Emirates: Wednesday, June 06 - 2007 at 16:05
  • PRESS RELEASE

Industry risk in the more established Malaysian takaful market is comparatively lower than in the Gulf Cooperation Council (GCC).

Article continues below
 
Due to the country's more developed regulatory and legal environment, according to a report published by Standard & Poor's Ratings Services, titled "Established Regulatory & Legal Environment Gives Malaysian Takaful Market The Edge Over Gulf Cooperation Council, But Competition Will Hit Earlier."

Growth potential for Islamic finance in Malaysia overall is still strong, particularly if it is to reach the level outlined in the Financial Sector Masterplan by Bank Negara Malaysia, the central bank of Malaysia.

"The historical stability and profitability of the takaful market is attracting more and more takaful operators to Malaysia, and the market expectations of growth in gross contributions of about 15%-20% per year are broadly in line with our expectations," said Standard & Poor's credit analyst Jelena Bjelanovic.

At the same time, however, competitive pressures will likely affect the Malaysian market earlier than the GCC takaful market, particularly in the general takaful segment. This may place pressure on pricing as companies begin to more aggressively compete for policyholders through a broader range of distribution channels.
Also consider reading:
Log in to request more information from Standard & Poor's

Notes and media contacts

Analyst Contacts:
Jelena Bjelanovic, London
Kevin Willis, London
Connie Wong, Hong Kong

Media Contact:
Isobel McCalman, Communications
Tel: (44) 20-7176-7233

About Standard & Poor's in the Middle East

Standard & Poor's is the leading provider of financial market intelligence to customers in the Middle East's credit risk management, wealth management, and data and information markets. Since entering the region in the early 1990's, Standard & Poor's has become the largest provider of credit ratings in the G.C.C, rating more than 90 issuers. In equity markets, Shariah-compliant versions of Standard & Poor's global and regional equity market indices - S&P 500, S&P Europe 350, S&P Japan 500 and S&P/IFCI GCC - have created new opportunities for Islamic investors to benchmark their international investments and for asset managers to create new investment products serving the Islamic community.

Press Office Contacts:
London Media Hotline: +44 20 7176 3605
Paris: +33 1 44 20 6740
Frankfurt: +49 69 33999 225
Milan: +39 02 72 111 245
Madrid: +34 91 389 6944
Moscow: +7 495 783 4017
Stockholm: +46 8 440 5916

Standard & Poor's, a division of The McGraw-Hill Companies (NYSE:MHP), is the world's foremost provider of financial market intelligence, including independent credit ratings, indices, risk evaluation, investment research and data. With approximately 8,500 employees, including wholly owned affiliates, located in 21 countries. Standard & Poor's is an essential part of the world's financial infrastructure and has played a leading role for more than 140 years in providing investors with the independent benchmarks they need to feel more confident about their investment and financial decisions.

Disclaimer:

Articles in this section are primarily provided directly by the companies appearing or PR agencies which are solely responsible for the content. The companies concerned may use the above content on their respective web sites provided they link back to http://www.ameinfo.com

Any opinions, advice, statements, offers or other information expressed in this section of the AMEinfo.com Web site are those of the authors and do not necessarily reflect the views of AME Info FZ LLC / Emap Limited. AME Info FZ LLC / Emap Limited is not responsible or liable for the content, accuracy or reliability of any material, advice, opinion or statement in this section of the AMEinfo.com Web site.

For details about submitting your stories, please read the guide - all content published is subject to our terms and conditions