Budget 2021: Govt to increase FDI from 49% to 74% in insurance

FEB 1: Finance Minister Nirmala Sitharaman on Friday proposed to amend Insurance Act, 1938 to increase FDI limit from 49% to 74% in insurance companies during Union Budget 2021. She further announced to allow foreign ownership and control with safeguards in the insurance industry.

Nirmala Sitharaman on Monday proposed a sharp rise in capital expenditure for the next fiscal to 5.54 lakh crore, from 4.39 lakh crore in the current financial year.

The central government aimed to garner 1.75 lakh crore through divestments in 2021-22, according to Union Budget documents. In FY21, the government had budgeted to raise 2.1 lakh crore through divestments but fell short.