Shiv Sena opposes 49% FDI cap in insurance

The Sena has 18 MPs in the LS and three MPs in the RS. BJP is making all efforts to convince it to drop opposition

The Shiv Sena on Tuesday intensified its attack against the Bharatiya Janata Party-led government for raising foreign direct investment (FDI) cap in the insurance sector to 49 per cent.

The Sena alleged that interests of the common man will be jeopardised, as the private sector insurance companies from India and global companies will focus only on earning profits.

Sena MP from South Mumbai Arvind Sawant told Business Standard:  ''Insurance is a service industry that caters needs of the common man. By increasing FDI limit to 49 per cent, companies from the private sector and global giants will come and try to earn profits while neglecting the interests of the common man. Who will protect the interest of the common man.''

Sawant, who heads Shiv Sena's labour union in MTNL, said party would put across its points of view before the joint select committee headed by BJP MP Chandan Mitra.

“If the situation arises, Shiv Sena will vote against the Bill in Parliament,” Sawant said.

The Sena has 18 MPs in the Lok Sabha and three MPs in the Rajya Sabha and BJP is making all efforts to convince its former ally to drop its opposition. Sena's decision is crucial when its lone minister Anant Gite is a member of the Union Cabinet, while the party has assumed the post of leader of opposition in the Maharashtra Assembly.

According to Sawant, the much-hyped Jan Dhan scheme was implemented by the government-owned banks and not the private sector ones and it is aimed at the common man. “In the same scheme, accidental insurance cover of Rs 1 lakh and life insurance cover of Rs 30,000 will be available to all account holders. Will similar benefit be provided after FDI limit in insurance sector is increased to 49 per cent,'' Sawant said.

The party would corner the BJP government in Maharashtra too over issues such as drought management, deteriorating law and order situation and power supply issues. Sena President Uddhav Thackeray, who is currently travelling with party legislators in the drought-hit Vidarbha and Marathwada regions, slammed the state government for not doing enough for the relief and rehabilitation of farmers and villagers from those regions.

Leader of Opposition in the Assembly Eknath Shinde alleged that Maharashtra's law and order situation was worse than Bihar. Both Thackeray and Shinde indicated that Shiv Sena will play a role of vigilant opposition.