In a keynote address at the Asian Captive Conference 2026, Labuan Financial Services Authority Director-General Affendi Rashdi outlined plans to retain captive insurance as a strategic pillar of the Labuan International Business and Financial Centre under its 2027–2031 roadmap. Priorities will include expanding captive adoption across Asia, advancing digital capabilities, developing specialist talent and reinsurance links, and maintaining proportionate regulation. A forthcoming MADANI Captive Framework and modernization of the captive takaful framework are intended to broaden access to Shariah-compliant risk financing. The plans build on reforms under the 2022–2026 roadmap, including broader insurable risks, an External Rent-A-Captive structure and an enhanced protected cell company framework. Captive premiums rose 7.2% to about USD 726 million in 2025, while the number of protected cell company cells increased from 13 in 2022 to 36 in 2025. Labuan IBFC had 71 captives by the second quarter of 2026. Further developments are underway to facilitate digital premium and claims settlement, beginning with approved stablecoins, subject to governance safeguards. The authority has also issued a handbook providing pathways for captives to use technology in underwriting, risk monitoring, claims processing and loss prevention within regulatory guardrails.

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