Regulatory Alerts2000-12-05
Added · Updated
Instructions of Banks’ Acquisition of Insurance Companies
The Central Bank of Jordan permits banks to acquire existing insurance companies subject to prior written approval and specific financial and governance conditions. Banks must demonstrate net profit for the preceding three years, maintain capital adequacy ratios, and ensure the insurance entity does not engage in exclusive banking activities. While applications for acquiring existing firms are allowed immediately, banks are prohibited from establishing new subsidiary insurance companies until the end of June 2002.