Reliance To Enter Insurance Business
A branch of the Anil Dhirubhai AmbaniGroup, Reliance Capital (R-Capital), is, now, eying on the insurance business. It is planning to invest Rs 2,000 crore in insurance businesses in the next three years. The company would also enter in the banking, home loans and consumer finance businesses as disclosed by the chairman of group, Mr Anil Amban, in a meeting between company officials and shareholders.
R-Capital Chairman, Anil Ambani told the shareholders that the group is working on many plans for next three years. The company would increase its distribution network from 4,000 to 20,000 cities across the country. The company also intends to venture into non-banking financial companies (NBFCs). It would start two separate companies for housing and consumer finance.
He also maintained that it’s quite rare to achieve 8 percent growth rate in the current fiscal following inflationary pressure, weakening of rupee and other global effects. He also mentioned the collapse of Lehman Brothers and sale of Merrill Lynch to point toward global credit crisis.