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RBI Approves LIC to Acquire Up to 9.99% Stake in HDFC Bank.

Banking & Finance | Dated: 27 Jan 2026

The Reserve Bank of India (RBI) has granted approval to the Life Insurance Corporation of India (LIC) to acquire up to 9.99% aggregate holding in HDFC Bank. LIC has been advised to acquire the major shareholding within one year. This approval is subject to compliance with the Banking Regulation Act, 1949.

🎯 Key Highlights:

  • LIC currently holds a 5.19% stake in HDFC Bank.
  • The approval is valid for one year, expiring in January 2027.
  • RBI regulations require prior approval for acquiring more than 5% stake in a bank.

💡 Other Important Facts:

  • Entity: LIC.
  • Target: HDFC Bank.
  • Stake Limit: 9.99%.

📚 Test Your Knowledge:

Which insurance giant recently received RBI approval to increase its stake in HDFC Bank up to 9.99%?

Correct Answer: LIC

🚀 Quick Recap:

About LIC

  • Chairperson – Siddhartha Mohanty
  • HQ – Mumbai