INSUBCONTINENT EXCLUSIVE:
Finance Minister Nirmala Sitharaman said the percentage of LIC's public listing is yet to be decidedHighlightsPercentage of LIC public
listing yet to be decided: Nirmala Sitharaman Government plans to sell some of its 100% stake in LIC LIC currently controls majority
share in India's life insurance marketFinance Minister Nirmala Sitharaman said on Saturday that Life Insurance Corporation's proposed
listing as part of the government's divestment drive will improve the company's administration and accountability
Her comments come days after she presented the Union Budget for financial year 2020-21, in which the government announced plans to sell some
of its 100 per cent stake in LIC in a move that could result in the partial listing of the country's largest insurer
Set up in 1956, LIC currently controls a majority share in the life insurance market in the country."The percentage of public listing is yet
to be decided," said the Finance Minister.Paring its stake in the state-run insurance behemoth will help the government meet its divestment
target, which has been increased to Rs 2.1 lakh crore in the fiscal year ending March 2021, from Rs 1.05 lakh crore in the current fiscal
year.In the Union Budget, the government said that it planned to earn Rs 90,000 crore through stake sales in state-owned banks and financial
institutions, without providing a roadmap for listing LIC.This week, trade union All India LIC Employees Federation staged an hour-long
walkout strike to protest against the proposed stake sale in the insurance company.The government has said that the listing of LIC may be
done in the second half of next financial year and will help deepen the equity market
It has also maintained that the listing of LIC will help bring in greater transparency and public participation, and deepen the equity
market.LIC chairman MR Kumar told TheIndianSubcontinent on Friday that the government's move to trim its stake in the insurer would not
cause any problems for the company's employees.
