New Delhi: NCP leader Praful Patel on Monday said that the all party meeting on Insurance Bill was inconclusive. Also, the parties will meet again in the next two days to discuss the possible formulation of the bill.
Early during the day, Parliamentary Affairs Minister M Venkaiah Naidu and Finance Minister Arun Jaitley met the opposition leaders to build consensus on the bill before tabling it in the Parliament that seeks to raise the FDI cap in the insurance sector from 26 percent to 49 percent.
Naidu had also said that the government is willing to consider meaningful suggestions, if any, from the opposition parties.
Insurance companies have a low level of penetration in the country for want of capital, with life insurance at below 4 percent of GDP and general insurance at less than 1 percent.
The amendment is expected to bring in much needed additional equity to the tune of Rs 25,000 crore to the insurance sector.
While up to 26 percent foreign investment will be allowed automatically, beyond that will require approval through the Foreign Investment Promotion Board (FIPB). Control of the insurance venture will have to remain in Indian hands.
