Digital change, according to DIPAM Secretary Pandey, may make LIC "smart."

Digital change, according to DIPAM Secretary Pandey, may make LIC "smart."

Digital change, according to DIPAM Secretary Pandey, may make LIC "smart."

The Department of Investment and Public Asset Management's Secretary, Tuhin Kanta Pandey, believes that the government can finish privatizing IDBI Bank by 2024–2025.

On January 30, the E share price of Life Insurance Corporation of India (LI)C) exceeded its issue price for the first time.

According to Tuhin Kanta Pandey, Secretary of the Department of Investment as well as Public Asset Management, the digital transformation of Life Insurance Corporation of India (LIC) "can potentially propel it towards becoming a very smart organisation".

Following the release of the interim Budget 2024–25, Pandey spoke with Moneycontrol and said that LIC is "improving very rapidly on all fronts" and making significant efforts to profitably hold onto its market share. This entails introducing a lot of subpar items and abandoning certain products, even those with strong growth.

"They have launched an electronic transformation project. BCG has been hired," he said.

When asked whether these adjustments showed the insurance company's value exceeded its existing share price, Pandey remained silent.

"We are promoters, we should not too say these things. I am only saying it because you are seeing the progress. We are making it (LIC) market oriented. The market is recognizing it," he said.

"This digital transformation is a very important project for LIC," the speaker said. Furthermore, I believe it will help LIC develop into a really intelligent company. Their HR need attention as well, which they are thinking about."

LIC shares, which were listed on stock markets in May 2022, ended at Rs 945.45 on the National Stock Exchange on February 2 after crossing the issue price for the first time on January 30.

The insurance company has "made several leaps forward internally" since its listing, which brought in the government over Rs 20,000 crore, according to Pandey, who also noted that the journey with LIC will be "long" and that the mere thought of listing it is a "big leap mentally."

"I'm still not very satisfied the existence is so little talk about embedded value. This happens to be such important measurement in insurance companies. Hence, the incorporation of value has increased," Pandey said. "That kind of quantitative work, reconciliation as a whole external reporting actuaries, expressing embedded value for the first time," Pandey said.

When asked about some of IDBI Bank's disinvestments, the Secretary said he was certain they would be finished by 2024–2025. Transactions seem to be a long way off when it comes to Bharat Petroleum Corporation Limited.

Pandey said, "BPCL has not actually resumed transactions yet." "Even now, the market for energy are distressed. Now suddenly the Red Sea issue has come up. So, the government has been trying to make up its mind. The petroleum ministry additionally serves as an important interlocutor there. When it is decided, the EOI (Speech of Interest ) will be launched."