Ministry of Economy and Finance grants in-principle approval for life insurance licence
Cambodia - 2 July 2012
Prudential Corporation Asia today announced it has received in-principle approval from Cambodia's Ministry of Economy and Finance to establish a wholly foreign-owned life insurance operation in the country. Cambodia extends Prudential's life insurance footprint in Asia to 13 markets and it will be one of the first entrants into a market that is in its formative stage of development.
Mr Barry Stowe, Chief Executive of Prudential Corporation Asia said, "We are very grateful for the support we have received from the Cambodian government. Prudential has a strong presence in Asia and our expansion into Cambodia is part of our strategy of investing in growth markets in the region. We believe that Cambodia represents a significant untapped opportunity for us and we are well placed to capture the opportunities there."
The demand for financial and life insurance products in Cambodia is expected to rise strongly. The country is experiencing robust economic growth with 11% compound annual growth rate (CAGR) of GDP during the last decade, as well as a growing urban population with per capita GDP across the whole population increasing from US$468 in 2005 to more than US$853 in 2011.1
Mr Stowe added, "By using our experience and expertise in Asia, we hope to play a role in raising the knowledge and understanding of insurance protection and long-term financial planning in Cambodia, in turn supporting the development of its life insurance industry. We are excited by the market's prospects and look forward to developing and offering tailored products that meet the needs of the Cambodian population."
Prudential established a representative office in Phnom Penh in December 2010, and will be shortly relocating its premises to Phnom Penh Tower Building at Monivong Blvd, which will be its corporate office in Cambodia.
1Source: National Institute of Statistics of Cambodia, www.nis.gov.kh