New Delhi/Kolkata: Finance Minister Nirmala Sitharaman on Saturday said insurance behemoth LIC will be listed as part of the government disinvestment initiative.
She further said that the listing brings in more financial discipline among the entities.
The government proposes to sell a part of its holding in LIC through initial public offer, she said while unveiling Budget 2020-21.
Currently, the government owns the entire 100 per cent stake in Life Insurance Corporation of India (LIC).
LIC employees’ unions on Saturday opposed the Centre’s plan to sell a part of its shares in the state-run insurance behemoth through an initial public offer (IPO), insisting that the move is “against the national interest”.
Finance Minister Nirmala Sitharaman said the Life Insurance Corporation of India (LIC) will be listed as part of the government disinvestment initiative.
“We strongly oppose the government’s plan to sell a part of its shares in LIC and the move is against the national interest,” a spokesman of an employees’ union told reporters here.
We are deeply grateful to our readers & viewers for their time, trust and subscriptions.
Quality journalism is expensive and needs readers to pay for it. Your support will define our work and ThePrint’s future.
Established in 1956, LIC is fully-owned by the central government and has the highest market share in the life insurance segment in the country.
He said that LIC has contributed a lot in the economic growth and the dilution of the government’s stake in the company will “endanger the economic sovereignty of the country”.
The employees’ unions of LIC across the country will stage nationwide protests if the government goes ahead with its plan, he said.
He alleged that it will also affect crores of policy holders of LIC.
News media is in a crisis & only you can fix it
You are reading this because you value good, intelligent and objective journalism. We thank you for your time and your trust.
You also know that the news media is facing an unprecedented crisis. It is likely that you are also hearing of the brutal layoffs and pay-cuts hitting the industry. There are many reasons why the media’s economics is broken. But a big one is that good people are not yet paying enough for good journalism.
We have a newsroom filled with talented young reporters. We also have the country’s most robust editing and fact-checking team, finest news photographers and video professionals. We are building India’s most ambitious and energetic news platform. And we aren’t even three yet.
At ThePrint, we invest in quality journalists. We pay them fairly and on time even in this difficult period. As you may have noticed, we do not flinch from spending whatever it takes to make sure our reporters reach where the story is. Our stellar coronavirus coverage is a good example. You can check some of it here.
This comes with a sizable cost. For us to continue bringing quality journalism, we need readers like you to pay for it. Because the advertising market is broken too.
If you think we deserve your support, do join us in this endeavour to strengthen fair, free, courageous, and questioning journalism, please click on the link below. Your support will define our journalism, and ThePrint’s future. It will take just a few seconds of your time.