In a strategic move reflecting the growth and global expansion of the Saudi insurance sector, the Saudi Reinsurance Company “Re” announced that it has obtained the necessary regulatory approvals from the Saudi Insurance Authority and the official authorities in the Republic of India to open a new branch in Gujarat International Finance and Technology City (GIFT City).
Strengthening presence in emerging markets
In an official statement published on the Saudi Stock Exchange (Tadawul) website, the company explained that this move aims to conduct reinsurance business directly within India. This decision culminates the company's ongoing efforts in the Indian market, where it has been operating for over a decade through its headquarters in Riyadh. India is one of the company's largest markets outside of Saudi Arabia, making the move to a direct physical presence a natural progression in its business operations.
Motives for expansion and new organizations
The company indicated that the decision to open the branch was in response to new regulations and legislation in the Indian insurance market, which now prioritize and give preference to local companies and international branches with a physical presence in India. This presence will enhance the company's competitiveness and provide it with greater opportunities to acquire new market share, in line with its strategy of measured expansion and geographic diversification, which contributes to a balanced business portfolio and sustained strong performance.
The importance of “GIFT City” and the economic context
Choosing GIFT City as the location for the new branch is a highly strategic decision. This city is India's first International Financial Services Centre (IFSC) and was designed to compete with global financial hubs such as Singapore, Dubai, and London. It offers a favorable regulatory and tax environment for international financial companies, facilitating reinsurance and cross-border financial flows.
On a broader level, this move aligns with the objectives of Saudi Vision 2030 and the Financial Sector Development Program, which encourages Saudi financial institutions to expand regionally and internationally and build strong, globally competitive economic entities. This step also reflects the deepening economic ties between Saudi Arabia and India, which are witnessing increasing cooperation in the fields of energy, technology, and financial services.
Expected financial impact
Regarding financial prospects, the Saudi Reinsurance Company stated that the financial impact of commencing operations for the new branch is expected to become clearly visible during the second quarter of 2026, reflecting the company’s long-term outlook on investments and its plans for sustainable growth.
