Opposition support bolsters prospects for insurance reforms
‘It was our bill, so we supported it,’ said senior Congress leader M. Veerappa Moily
New Delhi: Prime Minister Narendra Modi's efforts to reform the insurance sector received a boost on Wednesday after the opposition Congress party backed the measure in the Lok Sabha.
Congress voted with the Bharatiya Janata Party (BJP) in the Lok Sabha to pass a bill that seeks to increase the foreign investment limit in local insurers to 49 percent from 26 percent.
"It was our bill," said M. Veerappa Moily, a senior Congress leader. "So we supported it."
The party's support in the Lok Sabha has raised hopes that it would also back the bill in the Rajya Sabha.
A political row over religious conversions prevented lawmakers from voting on the long-delayed reform in December, forcing Modi to exercise his emergency powers and implement it through an ordinance.
"I hope the Congress will support it in (the) Rajya Sabha," Junior Finance Minister Jayant Sinha said after the vote. "If the bill is defeated in (the) Rajya Sabha, it does open an opportunity for a joint session (of Parliament)."
The ruling alliance has a majority to pass any legislation in a joint sitting of the two houses.