Belgium Agrees Rules Tender

The European Commission on Friday approved new rules to reduce the capital insurers have to set aside to back exposures in corporate bonds and equities to try to boost investments by the 1-trillion-euro S1.52 trillion industry.The move aims to support growth in the European Union where economic expansion is slowing. But the insurance industry said the Commissions plans did not go far enough.Valdis Dombrovskis the Commissions vice-president said the overhaul would make it easier to invest in small and medium-sized companies and provide long-term funding to the EU economy.As a result of todays rules insurers will have to hold less capital for such investments and will therefore find it more attractive to invest in the economy the EU executive said in a statement.