Life Insurance Corporation bails out Indian government

Life Insurance Corporation (LIC), has once again bailed out the Indian government by buying shares in a state-owned company, news reports have said.

According to the reports, earlier this month LIC purchased $2.5 billion of shares in the state-owned Oil and Natural Gas Corporation.

The deal has been heavily criticised within the Indian political sphere, and the news also comes only days after the Indian insurance regulator, the Insurance Regulatory and Development Authority, voiced concern about the composition of LIC’s board.