LIC Cleared by RBI to Raise Its Shareholding in ICICI Bank
Why in the news
RBI gave its nod for LIC to build up its shareholding in ICICI Bank, subject to the limits and conditions that apply.
Key facts
- Approving authority: Reserve Bank of India (RBI).
- Buyer: LIC (Life Insurance Corporation of India); company in which the stake is bought: ICICI Bank.
- LIC may increase its holding only within the regulatory limits that apply.
- The purchase has to follow the conditions and rules set by RBI.
| Element | Detail |
|---|---|
| Regulator granting approval | RBI |
| Investor | LIC |
| Investee | ICICI Bank |
| Condition | Within permitted limits and RBI rules |
Significance
- Developments like this are relevant to banking and financial services.
Exam angle
- Regulator that sanctions shareholding in banks in this case: RBI.
- Names to recall: LIC (investor) and ICICI Bank (investee).