Union Budget 2020: Big Announcement! Modi govt to sell its holding in LIC

Finance Minister Nirmala Sitharaman on Saturday said while unveiling the budget to sell a part of its holding in Life Insurance Corporation of India.

During the budget speech, Sitharaman said that LIC will be listed as part of the government's disinvestment initiative.

"Govt to offer support by guaranteeing securities floated to provide liquidity for NBFCs," said the minister.

Currently, the government holds the entire 100 percent stake in the Life Insurance Corporation of India (LIC).

Besides LIC, the government will also sell its stake in IDBI Bank to private investors. Nirmala Sitharaman also announced an amendment to the Banking Regulation Act to strengthen co-operative banks.

Also, the deposit insurance coverage for bank failure will be increased from the current Rs 1 lakh to Rs 5 lakh.

-With PTI inputs

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