iturn0image0turn0image3turn0image5turn0image7The Securities and Exchange Commission of Pakistan (SECP) has identified Takaful as a strategic lever to enhance the country’s insurance penetration, aiming to increase the sector’s contribution to GDP from 0.87% to 1.5% by 2028. Central to this initiative is a target to elevate Takaful’s share in the overall insurance market from approximately 11% to over 30% citeturn0search0.
Key Strategies to Promote Takaful:
- Digital Transformation:
- The SECP has licensed Salaam Family Takaful Limited as Pakistan’s first digital-only Takaful operator. This move aims to reduce entry barriers, enhance customer engagement through digital platforms, and expand market reach, particularly among underserved populations citeturn0search5.
- Regulatory Support and Awareness:
- A dedicated roundtable titled “Takaful: Unlocking the Growth Potential” was organized to engage industry leaders and discuss strategies for Takaful sector development. SECP Chairman Akif Saeed emphasized Takaful’s cultural alignment with Pakistan’s values and assured continued regulatory support citeturn0search1.
- Integration into Broader Insurance Goals:
- The SECP’s five-year strategic plan outlines objectives such as increasing the number of individuals covered by life policies to over 15 million, expanding motor third-party liability insurance coverage to more than 20%, and promoting the availability of agriculture and disaster insurance products. These initiatives aim to create a more inclusive insurance ecosystem citeturn0search2.
By leveraging Takaful, the SECP seeks to align Pakistan’s insurance sector with both global trends and local cultural values, thereby fostering greater financial inclusion and resilience.