The government has proposed issuing infrastructure bonds within the next year to help diversify the investment portfolio of insurance companies and mobilize long-term funds for development projects.
The initiative follows recommendations made by the High-Level Economic Reforms Recommendation Commission, chaired by former Secretary Rameshwar Khanal. The commission emphasized the need for insurance-targeted bonds to channel idle funds from insurance companies into productive infrastructure ventures.
According to the implementation committee’s report, infrastructure bonds specifically designed for insurance companies will be launched within a year. These bonds aim to support high-return infrastructure projects, offering insurers a stable, long-term investment option while aiding the government’s development agenda.
The action plan outlines the government’s commitment to expanding financial instruments that align with the long-term nature of insurance fund deployment, marking a strategic shift in infrastructure financing.
