HONG KONG - AIA Group, Asia’s second largest insurer by market capitalization through unit Philam Life expressed renewed interest in participating in the country’s public-private partnership (PPP) program.
The PPP, a flagship development initiative of the Aquino administration aims to build critical and much needed infrastructure across the Philippines to spur economic growth amidst a backdrop of a growing population.
“When you think of the nature of our business, long term assets are important to us so this is something we look at across the region. We need to find the right vehicles,” AIA Group chief executive and president Mark Tucker said in a regional press conference in Hong Kong.
Nine PPP projects have been awarded so far since its inception in 2010, and 14 more seen granted before President Aquino’s term ends next year.
The AIA Group is already an active participant in a number of infrastructure projects in the region, and intends to have more presence in the Philippines as a consortium partner.
It has in the past, partly funded main thoroughfares such as the South Luzon expressway, Skyway and the Manila-Cavite expressway -- all gateways to the southern part of Luzon.
“If there is a good opportunity for us, we definitely will look at it.” Philam Life chief executive Estelito Madrid said.
Philam Life which has since flourished after its separation from AIG in 2009, reported P20 billion worth of gross premiums for 2013, a record high. It has a total asset base of over P209-billion.
Parent AIA, meantime, posted a 22% hike in net profit for 2014 fiscal year at $3.45 billion, above market expectations.
Encouraged by the Philippines’ robust economic growth, it aims to belong in one of AIA’s top six markets in the region alongside Singapore, Thailand and Malaysia.
“From the size of our business there (Philippines), we’ve seen tremendous economic performance over the last number of years. Aim of AIA is (to become) the undisputed leader in terms of scale, in terms of quality and in terms of profitability,” Tucker added.
source: www.abs-cbnnews.com
