The All India Insurance Employees’ Association (AIIEA) has strongly criticised the Cabinet Committee on Economic Affairs (CCEA) for its decision to clear the sale of a 60.72% combined equity stake in IDBI Bank to Canada-based Fairfax Financial Holdings for ₹52,878 crore.

According to the details, the strategic sale comprises a 30.48% government stake and a 30.24% holding currently owned by the Life Insurance Corporation of India (LIC). Post-transaction, both the Centre and LIC will retain minor residual stakes of 15% and 19% respectively.

In a press statement, AIIEA General Secretary Shreekant Mishra argued that the privatisation is unjustified since IDBI Bank has demonstrated consistent operational profitability and robust financial growth. The association highlighted that the move violates the spirit of a 2003 Parliamentary assurance given by the then Finance Minister, wherein it was committed that the State would permanently retain at least a 51% stake in the banking institution.

The employee body asserted that the sell-off stems from the Centre’s pursuit of its ₹80,000 crore disinvestment target for the fiscal year rather than genuine institutional needs. It further questioned the logic behind diluting LIC’s stake, noting that both entities could have successfully leveraged bancassurance synergies without ceding majority management control to a foreign corporate entity.

The AIIEA has pledged complete solidarity with protesting bank officers and employees, urging the government to scrap the privatisation plan in the broader interest of depositors, the public, and the national economy.