The Kerala Legislative Assembly unanimously passed a resolution on Wednesday, expressing worry about the Centre's decision to sell holdings in insurance behemoth LIC and urging it to keep the institution, which has played an important part in the nation's growth.

The resolution was introduced in the Assembly by Chief Minister Pinarayi Vijayan, who believes that abandoning the insurance giant to the interests of private players will be detrimental to the country and that the union government should reconsider its decision.

"The union administration is attempting to defend its actions by claiming that only 5 percent of the shares would be sold in an Initial Public Offering (IPO), which is not privatisation. However, it is evident that selling shares is the first step toward privatisation, which is the government's true goal," he stated.

He noted that the LIC was nationalised in order to safeguard stakeholders from the abuse of private enterprises and to ensure that insurance coverage was expanded to the country's weakest sections and backward locations.

He criticised the Centre for modifying the LIC Act by inserting it in the Finance Bill and stated that such an institution is being privatised today without any opportunity for a full discussion or review in Parliament.

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