The Life Insurance Corporation (LIC) of India is planning to change the composition of its investment portfolio in keeping with the Malhotra Committee's recommendations. The proposal is significant as LIC's total investments at the end of 1995-96 were estimated at Rs 72,780 crore. The proposed changes would mean a decline in the share of state and Central government securities in LIC's total investment portfolio from the present 50 per cent and a corresponding increase in the insurance giant's investments in approved securities like public sector bonds.
Confirming the plan, LIC chairman N M Govardhan told Business Standard:
