The purpose of an economic value-based solvency regulation is to properly evaluate insurers’ financial positions through economic value-based valuation of both their assets and liabilities. It is also expected to facilitate the enhancement of insurers’ risk management. The FSA has held dialogues with various stakeholders on the matter, keeping in mind the possibility of introducing a new regulation in line with the timeline of the development of the ICS (Insurance Capital Standard). In doing so, the FSA has also been conscious of the potential unintended consequences of a new regulation under the current economic environment.
 
　Against this backdrop, the FSA has established the “Study Group on the Economic Value-based Solvency Framework” to seek directions for the future introduction of an economic value-based solvency framework in Japan, while also taking into account global developments on the matter.