AIR+28 Aug 2018

To merge or not to merge

| 28 Aug 2018

The Indian government's plan to merge three of the four PSU non-life insurers into one behemoth has now been put on slow motion as it prioritises other avenues of growth. The whole merger exercise, which was originally scheduled to be completed by March 2019, is now facing inordinate delays and uncertainties. Such an exercise would need considerable time and resources and at a juncture when the government is being pilloried from all sides for lack of job creation, such a move could have a boomerang effect in the general elections of 2019.

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