He said there are 35 domestic companies or groups in which LIC has invested over Rs 5,000 crore each, amounting to Rs 7.87 lakh crore.The minister shared a list of business groups in which the combined exposure to LIC is over Rs 5,000 crore. The list includes L&T, Uniliver, IDBI Bank, M&M and Aditya Birla.
LIC has an exposure of Rs 3.23 lakh crore in these top five groups, against a total of Rs 7.87 lakh crore in 35 companies.
He further said that LIC has a board-approved investment policy, which acts as an overarching framework for every investment made by the insurance company’s investment arm.
The Investment Committee, a sub-committee of the Board of Directors comprising CEOs, MDs, MDs and Independent Directors, makes all investment decisions relating to equity and debt investments in companies, he said. “All investment functions follow the ‘Standard Operating Procedure’ (SOP), which is approved by the Investment Committee and reported to the Board of Directors. This SOP is reviewed every year by LIC and revised as necessary to meet regulatory requirements,” he said.
The investment decisions are made by LIC after 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 Insurance Regulatory and Development Authority of India (IRDAI), Reserve Bank of India (RBI) and Securities and Exchange Board of India (SEBI) (where applicable) from time to time, he said.
He also said that LIC exposure in seven sectors, including cement, FMCG, ports and logistics and news and broadcasting, stood at Rs 2,27,327.84 crore as of September 2025.
Replying to another question, Chaudhary said there is currently no proposal for farm debt waiver under consideration by the government.
In a separate reply, Chaudhary said that various domestic and global factors influence the exchange rate of Indian Rupee (INR) such as movement of Dollar Index, trend in capital flows, interest rate level, movement in crude prices, current account deficit etc.
During the current financial year 2025-26, the depreciation of the INR has been influenced by the increase in the trade deficit and the likely outlook arising from the ongoing developments in India’s trade deal with the US, amid relatively weak support from the capital account.
The depreciation of the currency is likely to increase export competitiveness, which in turn will have a positive impact on the economy, he said.
On the other hand, he said, the depreciation could increase the prices of imported goods.
However, the overall impact of the exchange rate devaluation on domestic prices depends on the extent to which international commodity prices pass through to the domestic market.
Moreover, he said, imports into the economy also depend on various factors, including the demand and supply of raw materials in the international market, the type of tradable goods (i.e. essential or luxury items), freight costs, availability of substitute goods, etc., he said.
Thus, the impact of the exchange rate movement on import costs and thus on domestic inflation and on the economy in general cannot be isolated, he added.
The value of INR is determined by the market, without any target or specific level or bandwidth, he said in response to another question.
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