The introduction of India's domestically produced Prachand combat helicopter was described as a 'momentous occasion' by the country's defence minister. Photo: Indian Air Force
The introduction of India's domestically produced Prachand combat helicopter was described as a 'momentous occasion' by the country's defence minister. Photo: Indian Air Force
The introduction of India's domestically produced Prachand combat helicopter was described as a 'momentous occasion' by the country's defence minister. Photo: Indian Air Force
The introduction of India's domestically produced Prachand combat helicopter was described as a 'momentous occasion' by the country's defence minister. Photo: Indian Air Force

India launches its first attack helicopter in boost for defence production


Taniya Dutta
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The Indian Air Force took delivery of the country’s first domestically produced light combat helicopter on Monday, in the latest boost to India’s defence industry.

The Prachand — Hindi for fierce — was developed by state-run aerospace major Hindustan Aeronautics and designed for deployment in high-altitude regions.

Weighing 5.8-tonnes, the twin-engine helicopter can carry a range of missiles and is equipped with armoured-protection systems, night attack capability and crash-resistant landing gear.

It can be used in combat search-and-rescue operations, assaults on enemy air defences and counter-insurgency operations, said officials.

The Prachand can take out armoured vehicles on the ground using air-to-surface anti-tank munitions and drones with air-to-air missiles.

The 5.8-tonne twin-engine Prachand has night attack capability and crash-resistant landing gear. Photo: Indian Air Force
The 5.8-tonne twin-engine Prachand has night attack capability and crash-resistant landing gear. Photo: Indian Air Force

Defence Minister Rajnath Singh said the Prachand entering service was a “momentous occasion” for India.

“The induction of indigenously developed light combat helicopters will enhance our capability and will boost defence production,” Mr Singh said at the induction ceremony at western Jodhpur Air Force base.

It is “the only attack helicopter in the world that can land and take off at an altitude of 5,000 metres”, said CB Ananthakrishnan, chairman and managing director of Hindustan Aeronautics.

He said the Prachand “is indigenous and state of the art — one of the best combat flying machines in the world”.

The Cabinet committee on security, chaired by Prime Minister Narendra Modi, approved the procurement of 15 machines in March, at a cost of more than 40 billion rupees ($489 million).

Ten were allotted to Indian Air Force, with five for the Indian Army.

India has been steadily increasing its defence manufacturing capacity, under its ambitious Make In India initiative.

The country is among the world’s largest defence equipment importers, but has bought less in recent years, as it expands its domestic military manufacturing industry.

Last month, the country cleared the development of Tejas Mark-2 – an advanced version of its indigenous multi-role combat aircraft – and pledged to spend an additional 65bn rupees ($794m) on prototypes, testing and certification.

Quick pearls of wisdom

Focus on gratitude: And do so deeply, he says. “Think of one to three things a day that you’re grateful for. It needs to be specific, too, don’t just say ‘air.’ Really think about it. If you’re grateful for, say, what your parents have done for you, that will motivate you to do more for the world.”

Know how to fight: Shetty married his wife, Radhi, three years ago (he met her in a meditation class before he went off and became a monk). He says they’ve had to learn to respect each other’s “fighting styles” – he’s a talk it-out-immediately person, while she needs space to think. “When you’re having an argument, remember, it’s not you against each other. It’s both of you against the problem. When you win, they lose. If you’re on a team you have to win together.” 

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Tank warfare

Lt Gen Erik Petersen, deputy chief of programs, US Army, has argued it took a “three decade holiday” on modernising tanks. 

“There clearly remains a significant armoured heavy ground manoeuvre threat in this world and maintaining a world class armoured force is absolutely vital,” the general said in London last week.

“We are developing next generation capabilities to compete with and deter adversaries to prevent opportunism or miscalculation, and, if necessary, defeat any foe decisively.”

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Updated: October 03, 2022, 9:35 AM