A number of regulatory initiatives in Asia could indirectly create increased demand for reinsurance, as direct insurers rethink risk management strategies and appetite. Asian regulators have issued a number of initiatives that would change the operating and business climate in Asia. Legislative tweaks in Vietnam, India and Indonesia are creating growing protectionism, with attempts to increase the percentage of insurance business placed with reinsurers. Local reinsurers are being constantly held to account for their ability to streamline their risk management sophistication and controls, to compete with the upcoming growth in premium volume. The growth in protectionist measures will impact opportunities for business growth and participation of foreign reinsurers in these markets. The Chinese Risk-Oriented Solvency System (C-ROSS), issued in January, is likely to generate a larger placement of reinsurance in the local market rather than abroad due to the different capital charges put on reinsurance receivables from local and overseas reinsurers. Market competition is also expected to intensify with several new local reinsurers being set up in China in 2015-2016.