Kumar said the idea behind the listing of LIC was to “bring in more transparency and allow the company to share gains with its stakeholders”
Current Affairs:The posting of Life Insurance Corporation (LIC) will probably take around one year and the administration isn’t happy to sell more than 10 percent stake in the protection behemoth.
“We are as of now in contact with the Department of Investment and Public Asset Management (Dipam) to see all the procedures in question. The LIC Act should be altered. It’s unrealistic to do it in a half year and may take around one year,” Finance Secretary Rajiv Kumar said in a media collaboration on Sunday.
Kumar said the thought behind the posting of LIC was to “get more straightforwardness and permit the organization to impart additions to its partners”. “It is significant as it will get the divulgence standards,” he said.
The sovereign assurance for all arrangements gave by LIC will proceed, the secretary included.
A top government official said the venture estimation of LIC was generally Rs 36 trillion “as indicated by the most recent figures in a critical position sheet”. The authority said the legislature probably won’t weaken “more than 10 percent” in LIC. “It will unquestionably be under 10 percent,” the authority included.
The administration may look for exclusion from the Securities and Exchange Board of India (Sebi) to offload under 10 percent in the underlying open offer (IPO).
All organizations are required to offer in any event 10 percent in the IPO.
Aditi Mehta 