Prudential’s Increased Outlay for India

Thursday, January 25, 2007

Prudential Plc divulged its aggressive
strategy for augmenting its investment
in India. On the sidelines of its first board meeting
in India, the group chief executive Mark Tucker said existing investment
in all its segments would be increased. Appreciating the government’s
open policies on insurance, the chief executive remarked that the
company was focusing on the Indian market to develop its business.

The rural market has been particularly encouraging, and the company’s
products have made effective penetration in the growing market.
One million customers from the rural market have given the company
confidence to further strengthen its base.

On its outsourcing activities, Prudential has plans to expand beyond
the UK operations. Tucker dismissed rumors of the company being
up for a takeover, and said it has devised strategies to promote
its products independently

Prudential is a leading UK-based financial services company, offering
personal banking, insurance and pensions products and retail and
institutional fund management services, with operations across the
globe.

In India, it entered into a joint venture with ICICI Bank in December
2000 with a total capital infusion of Rs. 18.15 billion. ICICI Bank
holds a stake of 74% and Prudential plc holds 26%. Today, the nation-wide
team comprises 450 branches, over 150,000 insurance advisors and
18 banc assurance partners.