LIC’s assets under management surge! The assets under management (AUM) of Life Insurance Corporation of India (LIC), a state-owned insurance giant, have surpassed the Rs 50 lakh crore milestone, reaching Rs 51,21,887 crore ($616 billion) as of March-end.
This represents a significant 16.48% year-on-year growth compared to the previous fiscal year’s figure of Rs 43,97,205 crore.To put this in perspective, LIC’s AUM is now almost twice the size of Pakistan’s GDP, which stands at approximately $338.24 billion, according to IMF data quoted in an ET analysis.
Moreover, LIC’s fund size, which has been commended by Prime Minister Narendra Modi in the Parliament, surpasses the combined GDPs of three neighboring countries: Pakistan ($338 billion), Nepal ($44.18 billion), and Sri Lanka ($74.85 billion)!
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Even as India is poised to become an economic superpower amidst the looming global financial challenges, Pakistan, burdened by debt, has been grappling with financial difficulties and narrowly averted a sovereign debt default in the previous month.
The IMF has raised serious concerns regarding Pakistan’s capacity to service its debts, cautioning that heightened political uncertainty and the resurgence of social tensions could undermine the country’s economic stabilization efforts.
The IMF projects that Pakistan will require gross financing of $123 billion over the next five years, with the country expected to seek $21 billion in fiscal year 2024-25, $23 billion in 2025-26, $22 billion in 2026-27, $29 billion in 2027-28, and $28 billion in 2028-29.
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In the fiscal year 2024, the Life Insurance Corporation of India reported a profit of Rs 40,676 crore and a total premium income of Rs 4,75,070 crore. The company also allocated a bonus of Rs 52,955.87 crore to participating policyholders during the financial year.
LIC currently holds a market share of nearly 59% in the Indian life insurance industry and is exploring opportunities to enter the health insurance sector. The company is actively assessing potential acquisition prospects to facilitate this expansion.
On the stock exchanges, LIC ranks as the 7th largest company by market capitalization, with a recent valuation of Rs 6.46 lakh crore. The company’s shares have experienced a significant growth of nearly 52% over the past 6 months.
The Indian government, through the President of India, holds a 96.5% stake in LIC. The Securities and Exchange Board of India (Sebi) has extended the timeline for LIC to achieve a 10% public shareholding until May 2027 and a 25% public holding by 2032, effectively removing the overhang of an Offer for Sale (OFS) on the stock.
This represents a significant 16.48% year-on-year growth compared to the previous fiscal year’s figure of Rs 43,97,205 crore.To put this in perspective, LIC’s AUM is now almost twice the size of Pakistan’s GDP, which stands at approximately $338.24 billion, according to IMF data quoted in an ET analysis.
Moreover, LIC’s fund size, which has been commended by Prime Minister Narendra Modi in the Parliament, surpasses the combined GDPs of three neighboring countries: Pakistan ($338 billion), Nepal ($44.18 billion), and Sri Lanka ($74.85 billion)!
Also Read | When will BSE Sensex hit 1 lakh? Mark Mobius says ‘Indian markets will…’
Even as India is poised to become an economic superpower amidst the looming global financial challenges, Pakistan, burdened by debt, has been grappling with financial difficulties and narrowly averted a sovereign debt default in the previous month.
The IMF has raised serious concerns regarding Pakistan’s capacity to service its debts, cautioning that heightened political uncertainty and the resurgence of social tensions could undermine the country’s economic stabilization efforts.
The IMF projects that Pakistan will require gross financing of $123 billion over the next five years, with the country expected to seek $21 billion in fiscal year 2024-25, $23 billion in 2025-26, $22 billion in 2026-27, $29 billion in 2027-28, and $28 billion in 2028-29.
Also Read | ‘On June 4, markets will…’: PM Modi’s big prediction for Sensex on Lok Sabha election results day
In the fiscal year 2024, the Life Insurance Corporation of India reported a profit of Rs 40,676 crore and a total premium income of Rs 4,75,070 crore. The company also allocated a bonus of Rs 52,955.87 crore to participating policyholders during the financial year.
LIC currently holds a market share of nearly 59% in the Indian life insurance industry and is exploring opportunities to enter the health insurance sector. The company is actively assessing potential acquisition prospects to facilitate this expansion.
On the stock exchanges, LIC ranks as the 7th largest company by market capitalization, with a recent valuation of Rs 6.46 lakh crore. The company’s shares have experienced a significant growth of nearly 52% over the past 6 months.
The Indian government, through the President of India, holds a 96.5% stake in LIC. The Securities and Exchange Board of India (Sebi) has extended the timeline for LIC to achieve a 10% public shareholding until May 2027 and a 25% public holding by 2032, effectively removing the overhang of an Offer for Sale (OFS) on the stock.
