Abstract. Let E G be a stable principal G-bundle over a compact connected Kähler manifold, where G is a connected reductive linear algebraic group defined over C. Let H ⊂ G be a complex reductive subgroup which is not necessarily connected, and let E H ⊂ E G be a holomorphic reduction of structure group to H. We prove that E H is preserved by the Einstein-Hermitian connection on E G . Using this we show that if E H is a minimal reductive reduction (which means that there is no complex reductive proper subgroup of H to which E H admits a holomorphic reduction of structure group), then E H is unique in the following sense: For any other minimal reduction of structure group (H ′ , E H ′ ) of E G to some reductive subgroup H ′ , there is some element g ∈ G such that H ′ = g −1 Hg and E H ′ = E H g. As an application, we show the following: Let M be a simply connected, irreducible smooth complex projective variety of dimension n such that the Picard number of M is one. If the canonical line bundle K M is ample, then the algebraic holonomy of the holomorphic tangent bundleM is ample, the rank of the Picard group of M is one, the biholomorphic automorphism group of M is finite, and M admits a Kähler-Einstein metric, then the algebraic holonomy of T 1,0 M is GL(n, C). These answer some questions posed in [BK].