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In India, Pakistan is discussed on some pretext or the other. There was a time during the Lok Sabha elections when many big leaders of the country even took the name of Pakistan. Well, that is a different matter. What we are going to discuss today is that Pakistan's economy is not so strong that it can compete with any government company of India.

Yes, this is no joke. India's largest insurance company LIC has twice the amount of money compared to Pakistan's GDP. While Pakistan's GDP is around 338 billion dollars, LIC's asset under management (AUM) has crossed 600 billion dollars. Now you can understand for yourself how bad the condition of Pakistan is.

LIC's AUM is double that of Pakistan

After a sharp rise in Indian stocks, the AUM of the country's largest insurance company LIC has now crossed Rs 50 lakh crore and is almost double the GDP of neighboring country Pakistan. According to fresh data, by the end of March, LIC's AUM has increased by 16.48 percent on an annual basis to Rs 51,21,887 crore (616 billion dollars), whereas it was Rs 43,97,205 crore at the end of March last fiscal. On the other hand, according to the IMF, Pakistan's GDP is only $ 338.24 billion. This means that the assets held by the country's giant insurance company are almost double the total GDP of Pakistan.

LIC is bigger than the combined GDP of 3 countries

The special thing is that LIC's AUM is bigger than the total GDP of the country's three neighbouring countries. Talking about the figures, Pakistan's total GDP is $338.24 billion. Sri Lanka's GDP is $74.85 billion. Nepal's GDP is even less and its size is $44.18 billion.

Even if all three are added together, it will only amount to $457.27 billion. Whereas LIC's AUM is $616 billion. This means that the number of assets being managed by LIC is more than the economy of these three countries. A few months ago, seeing LIC's growth and the size of its funds, the country's Prime Minister Narendra Modi praised it a lot in the Parliament.

Pakistan is continuously getting weaker

While India is emerging as an economic superpower despite the global crisis, debt-ridden Pakistan is struggling to meet its needs and narrowly escaped sovereign debt default last month. The International Monetary Fund (IMF) has expressed serious concern about Pakistan's ability to repay its debt. It has also said that political uncertainty and emerging social tensions can weaken the country's economic stabilization policies.

According to the IMF, Pakistan needs $123 billion over the next five years. The country needs $21 billion in the financial year 2024-25, $23 billion in 2025-26, $22 billion in 2026-27, $29 billion in 2027-28, and $28 billion in 2028-29.

The growing strength of LIC

In FY 2024, LIC has made a profit of Rs 40,676 crore. At the same time, the total premium earned was Rs 4,75,070 crore. During the financial year, it distributed a bonus of Rs 52,955.87 crore to the participating policyholders. With a market share of about 59 per cent in the life insurance policy business, LIC remains the largest company in the country.

The special thing is that the market cap of LIC in the stock market is Rs 6.46 lakh crore and it remains the 7th largest company in the country and the largest government company in the country. In the last 6 months, the company's shares have seen an increase of 52 percent. Through the President of India, the Government of India has a 96.5 percent stake in LIC.

Removing the OFS overhang on the stock, market regulator Sebi has extended the deadline for LIC to achieve 10 per cent public share holding by May 2027 and 25 per cent public holding by 2032.

Status of LIC shares

With the fall in the stock market, the shares of the country's largest insurance company LIC are also seeing a fall on Wednesday. According to the data, the company's stock is seeing a decline of 1.29 percent on BSE and the company's stock is trading at Rs 1008.25. However, during the trading session, the share of LIC also reached the lower level of Rs 1005. At present, the market cap of the company is seen to be Rs 6,37,717.89 crore.