Q. What is the maximum limit of Foreign Direct Investment (FDI) in Insurance sector in India?
Answer:
74%
Notes: Ageas Insurance International has announced to buy 25 per cent of IDBI Bank in private sector life insurer Ageas Federal Life Insurance for Rs 580 crore.
At present, Ageas Insurance International holds 49 per cent stake in the insurance company and Federal Bank holds 26 per cent. After acquiring IDBI Bank’s 25 per cent stake in the insurance company, Ageas Insurance International will take its shareholding to 74 per cent. FDI cap in the insurance sector is 74 per cent.