Specialist insurer CBL is to become the first non-bank provider of surety and guarantee bonds for infrastructure developments in India, through a joint venture with Indian infrastructure finance company Srei Group.

The proposed partnership was announced at a function in Delhi last week after year-long talks.

CBL Director of International Business Dean Finlay says the introduction of performance bonds will give Indian businesses greater flexibility in managing working capital, aid the growth of infrastructure companies and allow projects to be completed faster.

Srei Vice-Chairman Sunil Kanoria says while bid bonds, sureties and performance guarantees are available in other countries, no such market exists in India.

CBL provides surety and bonding programs in 15 countries.