Japan’s Tokio Marine Holdings has been granted approval by the Indian authorities to raise its stake in Edelweiss Tokio Life Insurance Company from 26% to 49% through its wholly owned subsidiary, Tokio Marine & Nichido Fire Insurance Co (TMNF).

Tokio Marine Group started its life insurance operations in India in 2011 through Edelweiss Tokio Life, the joint venture company established in 2009 with Edelweiss Financial Services.

It comes after a new insurance bill was passed in March 2015 by both houses of Parliament in India and the total foreign investment limit in the insurance sector has been raised from 26% to 49%.

Tokio Marine Holdings said Edelweiss Tokio Life has been expanding its business taking advantage of Tokio Marine Group’s strong insurance expertise as well as EFSL’s strong brand recognition and broad client base.

The additional capital will be used for Edelweiss Tokio Life’s business expansion plans including strengthening its sales networks and refining its business process.