New Delhi: The government will take a call on the IPO of the country's largest insurer LIC in the "best interest of the investors", a senior official said on Friday as it is closely watching the market amid volatility caused by the Russia-Ukraine war. DIPAM Secretary Tuhin Kanta Pandey said that while the government's desire is to come out with the Initial Public Offer (IPO) of the state-owned life insurer in the current fiscal, it is a "dynamic situation". Through the IPO of Life Insurance Corporation (LIC), the government aims to garner over Rs 60,000 crore in the current fiscal to meet its revised disinvestment target of Rs 78,000 crore. However, in the wake of the market volatility due to the Ukraine-Russia war, there might be a rethink on the timing of the LIC share sale.
"There are certain unanticipated events which have taken over right now. We are closely watching the market and certainly whatever the government will do, we will do in the best interest of the investors and also the IPO," Pandey, Secretary of Department of Investment and Public Asset Management (DIPAM), said. Speaking at the seventh National Conference on Economics of Competition Law, 2022, he also said the government's desire to come up with the IPO of the state-owned insurer this fiscal year itself. The financial year is ending on March 31. "That is always been our desire, but now with this crisis which has come up, it is also a very dynamic situation. We are closely watching (the situation) and since you know you are dealing with the market all the time, so we have to be watchful and make our strategy accordingly," Pandey stressed. He also said the government is guided by professional advisors and whatever decision is taken, it will be in the best interest of the investors and the stakeholders.