Divestment To Help Both LIC, Government: Jayant Sinha
Money & Banking
PTI
Ranchi |
Updated on
February 02, 2020
Published on
February 02, 2020
BJP MP and former Union Finance Minister Jayant Sinha on Sunday said disinvestment of the Life Insurance Corporation as proposed in the Union budget would be beneficial for both the central government and the LIC.
The capital raised post-divestment could be used in building infrastructure while the move would also bring in “accountability, transparency and efficiency” in the insurance behemoth, he told a press conference.
“If the LIC required more capital, it would be able to take it from the market and not from the government. The more than 10 lakh crore capital of the LIC would be helpful for us all. It could help us get funds for constructing infrastructure like medical colleges,” Sinha said.
The Budget presented by Finance Minister Nirmala Sitharaman on Saturday has proposed to construct a medical college in every district, besides taking up other infrastructure developmental projects, he said.
“There are three benefits from the disinvestment of the LIC - it will be strengthened with the listing with share market, which requires reporting every month. It will also bring in accountability, transparency and efficiency,” the MP from Hazaribag said.
To a query on the fate of policy-holders, he said all of them will get every benefit assured in their policies as there is no connection between the disinvestment initiative and policies.
“Moreover, the central government will sell only 5 to 10 per cent of its holding in LIC,” Sinha said.
Currently, the government owns the entire 100 per cent stake in the LIC.
Sinha praised Sitharaman saying she addressed the economic situation, fiscal deficit and macro-economics very well.
Published on
February 02, 2020
PTI
Ranchi |
Updated on
BJP MP and former Union Finance Minister Jayant Sinha on Sunday said disinvestment of the Life Insurance Corporation as proposed in the Union budget would be beneficial for both the central government and the LIC.
The capital raised post-divestment could be used in building infrastructure while the move would also bring in “accountability, transparency and efficiency” in the insurance behemoth, he told a press conference.
“If the LIC required more capital, it would be able to take it from the market and not from the government. The more than 10 lakh crore capital of the LIC would be helpful for us all. It could help us get funds for constructing infrastructure like medical colleges,” Sinha said.
The Budget presented by Finance Minister Nirmala Sitharaman on Saturday has proposed to construct a medical college in every district, besides taking up other infrastructure developmental projects, he said.
“There are three benefits from the disinvestment of the LIC - it will be strengthened with the listing with share market, which requires reporting every month. It will also bring in accountability, transparency and efficiency,” the MP from Hazaribag said.
To a query on the fate of policy-holders, he said all of them will get every benefit assured in their policies as there is no connection between the disinvestment initiative and policies.
“Moreover, the central government will sell only 5 to 10 per cent of its holding in LIC,” Sinha said.
Currently, the government owns the entire 100 per cent stake in the LIC.
Sinha praised Sitharaman saying she addressed the economic situation, fiscal deficit and macro-economics very well.
Published on
Gen X Vs. Millennial Parents: New USAA Data Reveals Differences In Early Financial Behaviors For Gen Alpha
San Antonio, TX – JANUARY 13 – While Gen Z (born between 1997 and 2009) is under a constant microscope ... Read more
USAA Members Benefit From ~$3.7 Billion In Financial Rewards In 2025
Record Amount Underscores Association’s Commitment to Military Families Read more
USAA Ranked Highest By J.D. Power For Second Consecutive Year For Member Satisfaction In Individual Annuities
USAA continues to set the standard for personalized, efficient and reliable service across the industry. Read more
USAA Launches “Honor Through Action,” Committing $500 Million Over Five Years To Champion The Military Community
Movement will focus on meaningful careers, financial security and well-being for our nation’s veterans and military fa... Read more
USAA Extends Government Shutdown Relief, Totaling More Than $411M To Its Members
Nov 05 2025 SAN ANTONIO – November 5 – As the government shutdown continues, USAA is e... Read more
USAA To Serve As Title Sponsor For HYROX Dallas In November 2025
Through military veteran athletes, content and onsite activation, USAA will elevate the importance of well-being through... Read more