Why is the government offloading stake in LIC? | Explained
The Indian government is selling a 6.5% stake in the Life Insurance Corporation (LIC) through an Offer for Sale to meet disinvestment targets and SEBI shareholding requirements. The move aims to achieve 10% public shareholding by 2027 while generating significant revenue for the state.
Why it matters
This is a major financial move involving one of India's largest state-owned entities, impacting both the national budget and public market investors.
The story so far: The Government of India is partially offloading stake in the Life Insurance Corporation of India (LIC) , one of its crown jewels. The move, while helping the insurance behemoth comply with capital market regulator Securities and Exchange Board of India’s (SEBI) shareholding norms ahead of the deadline, will actually benefit the Centre from a perspective of inching closer to its ₹80,000 crore disinvestment target for FY27.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in