The finance ministry does not issue any advisory or direction to Life Insurance Corporation of India (LIC) on matters related to investments, Finance Minister Nirmala Sitharaman told Parliament on Monday, reiterating that the state-run insurer operates independently.
“The investment decisions of LIC are taken by LIC alone following strict due diligence, risk assessment, and fiduciary compliance and are governed by the provisions of the Insurance Act, 1938, as well as regulations issued by the Reserve Bank of India (RBI), and Securities and Exchange Board of India (SEBI) (wherever applicable) from time to time,” she said while answering a starred question on LIC’s recent investment in the Adani Group.
In her response during the first day of the winter session, she added that there was no direct oversight by the government on investments made by as she confirmed that the insurer had invested ₹5,000 crore in secured non-convertible debentures issued by it in May 2025.
