Jio Financial Services ties up with Germany's Allianz for reinsurance venture

German insurer Allianz has formed an equally-owned reinsurance joint venture in India with Reliance Group-owned Jio Financial Services, expanding its presence in the country's insurance market, the companies said on Friday.

Allianz and Jio Financial signed a non-binding agreement to establish a 50-50 joint venture for both general and life insurance operations in India, the companies added.

Reuters in March reported that Allianz was exploring a potential partnership with the Mukesh Ambani-led Reliance Group firm Jio Financial Services.

Bloomberg News was the first to report the talks of the possible partnership last year.

The German company is pushing forward with its expansion in the South Asian nation, describing India as an important growth market and stating it would pursue new opportunities to strengthen its position in the country's insurance sector.

Earlier this year, Allianz had agreed to sell its 26% stake in its non-life and life insurance joint ventures with India's Bajaj Finserv for $2.8 billion, ending a decades-long partnership.