- LIC can be listed in foreign markets
- Government may sell 25% stake in LIC
- For this, he will have to change the LIC Act
- LIC’s IPO may come in the last quarter
The country’s largest insurance company LIC can be listed in foreign markets. The government is seriously considering this possibility. It is believed that through this the government wants to give a concrete message to foreign investors. The government has already announced to sell some of its stake in LIC. Preparations are on for an IPO for this.
Recently there was news that the government may sell 25 per cent stake in LIC. For this, he will have to change the LIC Act. Also, there will be a change in the company law to list Indian companies directly in foreign stock markets. The government had announced disinvestment in LIC in the budget. Deloitte and SBI Capital Markets have been made Transaction Advisors for LIC. Simultaneously, the process of amendment of LIC Act has also started. According to the current law, only the government can have a stake in LIC.
Complain to the bank directly if there is trouble with the bank
LIC is in the process of appointing an acturial firm to evaluate its embedded value. According to sources, the Bill can be brought in the winter session of Parliament for disinvestment in LIC. The company’s IPO may come in the last quarter of the financial year. A source said that despite changes in the law, the government will continue to control LIC.
The sale of stake in LIC will help the government to improve its financial position. The economy is plagued by the Kovid-19 pandemic and the fiscal deficit is on the rise. The government has set a fiscal deficit target of 3.5 per cent of GDP for FY 2021.
Good news on loan moratorium, interest will not be given on loan interest
The government has set a target of raising Rs 2.1 lakh crore from disinvestment during this financial year but so far it has managed to raise only Rs 57 billion. The government can achieve this by selling a stake in LIC. According to today’s valuation, the central government can get Rs 2 lakh crore by selling its 25% stake in LIC. However, LIC employees and opposition parties are opposing the disinvestment of LIC.