India plans to nominate a private sector specialist as the first CEO of the Life Insurance Corporation of India . The move is aimed at modernizing the insurer, which manages 41 trillion rupees ($500.69 billion) The insurers share price has declined since its IPO in May last year .
After a sluggish stock market start, India plans to nominate a private sector specialist as the first CEO of the Life Insurance Corporation of India, aiming to modernize its biggest insurer, which manages 41 trillion rupees ($500.69 billion) in a bid to attract private sector candidates, according to two government officials.The insurer's chairman is now appointed by a committee, but the process will end in March, according to one of the government officials.Subhash Chandra Garg, a former finance minister who declined to be identified, said that this shift would result in more choices and give positive signals to shareholders.The insurer's share price has declined since its IPO in May last year and has decreased by 30% over the price at which the shares were issued, wiping out nearly 2 trillion rupees ($24.31 billion) in investor wealth.