3. Industrial Development Bank of India
established in July 1964 by the Govt. of India
To provide financial facilities for development
of industrial units in India.
4. The Head office of IDBI is located in Mumbai.
It is currently 10th largest development bank in the
world in terms of reach, with 3350 ATMs, 1853
branches, including one overseas branch at Dubai,
and 1382 centres.
5. IDBI functions as an apex bank for the
development banks engaged in industrial
financing and insurance.
GIC
UTI
LIC
SFCs
ICICI
IFCI
6. MANAGEMENT of IDBI
22 members Board of Directors nominated by the
Central Government.
Shri Kishor Kharat is MD and CEO of IDBI.
7. FUNCTIONS of IDBI
Direct financial assistance to industrial units
Indirect financial assistance to industrial enterprises
As an Apex body
Assistance to Backward areas
Rediscounting/ discounting bills of exchange
8. Help entrepreneurs in identifying economically viable
project and provided technical assistance
Carries out research work by collecting information about
market .
Provides venture capital for new industries
Helps in entrepreneurial development through training
programme .
Provide consultancy services
9. SOURCES OF FUNDS
Authorised capital rs.3000 crores
Issued share capital rs.2058 crores.
Its shares are listed in BSE,NSE.
IDBI can build its financial resources through shares,
debentures, deposits from companies, borrowings from RBI
and the Govt. of India
10. Diversification of Activities of IDBI
Since 1990, IDBI has set up number of institutes,
including:
Small Industries Development Bank of India in 1990.
IDBI Investment Management Company (IIMCO)in 1994.
IDBI Capital Market Services Ltd. (ICMS)in 1995.
IDBI bank Ltd.
11. IDBI has supported for establishment of
National Stock Exchange of India ,
Infrastructure Development Financial Corp. (IDFC),
SEBI,
EXIM Bank,
Entrepreneurial Development Institute of India,
Technical Consultancy Organization (TCO)
12. PROBLEMS WITH IDBI
IDBI is facing big problem of NPAs.
In 2004, RBI incorporated IDBI as scheduled Bank.
In July 2016 FM declared there is a chance of dilution
of GOI stake in IDBI to below 50%.
13. IFCI is an Indian government owned development
bank to cater to the long-term finance needs of the
industrial sector.
It was the first DFI established by the Indian
government after independence.
14. The Government established the Industrial
Finance Corporation of India (IFCI) on 1 July
1948. The IFCI was established to provided
access to low-cost funds.
15. MANAGEMENT of IFCI
Chairman is appointed by the Government of India,
for a period of 3 years.
12 directors, nominated by the IDBI, scheduled
banks, cooperative banks, insurance trusts .
16. FUNCTIONS OF IFCI
Soft Loan Assistance
Entrepreneur Development
Industrial Development in Backward Areas
Subsidised Consultancy
17. IFCI has provided assistance to all types of
industries . 2/3 of assistance was given to 5
major industries and they are:
• Cement,
• Cotton, Artificial yarn,
• Mining industry,
• Hotel industry,
• Generation or distribution of power electricity.
18. PROBLEMS with IFCI
The rate of interest which the corporation charged
was extremely high.
There was a great delay in sanctioning loans and in
making the amount of the loans available.
The ‘corporation’s insistence on the personal
guarantee of managing directors in addition to the
mortgage of property was considered wrong.
19. ICICI
Industrial credit and investment corp. of India.
In 1955, as a joint-venture of the World Bank,
India's public-sector banks set up ICICI to provide
project financing to Indian industry.
20.
21. ICICI Bank
headquartered in Mumbai,
the second largest bank in India in terms of
assets
ICICI does not exist any more as a
development financial institution , it is a
banking company.
22. Objectives of ICICI
To provide loans to industrial projects in private
sector.
To stimulate the promotion of new industries.
To assist the expansion and modernization of
existing industries.
To provide Technical and managerial aid to
increase production
23. FUNCTIONS OF ICICI
Providing medium and long term loans for starting
private production units
Helping in raising the investments by Indians and
foreigners in the private sector production units.
Providing technical and managerial assistance.
Guaranteeing the loans of private sector units.
24. Providing capital to developmental projects in the
private sector
Participating in equity capital and in debentures.
Underwriting new issues of shares and debentures
and providing foreign currency loan to such units.
Establishing strong relations with the foreign financial
institutions
25. o SIDBI is the wholly owned
subsidiary of IDBI.
o engaged in meeting
financial needs of small
scale industrial units.
o The decision to set up
SIDBI was announced in
the budget of 1988-89 and
it actually started working
form 2nd April 1990
26. It functions as an apex institution in the area
of SSI finance.
Mr. Susil Muhnot, chairman and managing
director of SIDBI.
27. FUNCTION of SIDBI
Supplement efforts of existing institutions to
help financing SSI.
Direct lending to SSI sector.
Refinancing primary lending organizations to
help them to finance SSI sector.
28. Bill rediscounting and refinance of bills.
Finance export oriented units.
Extending seed capital / soft loans to
entrepreneurs.
Providing export credit to the SSIs, small
entrepreneurs in the purchase of assets, raw
material etc.
Notes de l'éditeur
Co-ordination, regulation and supervision of the working of other financial institutions
A non performing asset (NPA) is a loan or advance for which the principal or interest payment remained overdue for a period of 90 days
