OBJECTIVE, FUNCTIONS AND ROLE IFCI:- ROLE FUNCTIONS

2. DEVELOPMENT BANKS IN INDIA

3. WHAT IS DEVELOPMENT
BANKS
A Development Bank is a polygonal
development finance institution devoted to
improving the social and monetary development
of its associate nations.
It helps improve the value of people's lives by
providing loans and scientific support for a broad
variety of development activities.

4. OBJECTIVES
Lay Foundations for Industrialization
Meet Capital Needs
Need for Promotional Activities
Help Small and Medium Sectors'

5. FUNCTIONS
Financial Gap Fillers
Undertake Entrepreneurial Role
Joint Finance
Refinance Facility
Credit Guarantee
Underwriting of Securities

6. Role of development banks
in financial system

7. FUNCTIONS OF A
DEVELOPMENT BANK
 Increase loans and equity investments to its
developing associate countries (DMCs) for their
monetary and social development.
 Provides technical help for the planning and
implementation of development projects and
programs and for advisory services.
 Promotes and facilitates speculation of public and
private capital for growth and development.
 Responds to requests for assistance in coordinating
growth policies and plans of its increasing member
countries.

8. IFCI
The government of india set up the industrial
finance corporation of india in july 1948
Management of IFCI
12 directors
4 are nominated by the IDBI

9. OBJECTIVES OF IFCI
Promoted by new enterpreneurs
Based on indegenous technology
Which would result in substitution of imports
Providing input for incresing agricultural
products

11. OPERATIONAL ACTIVITIES
Concessional finance to projects in less
development areas
Concessional finance for renewable energy
systems
Power of attorney scheme
Bridging loans
Sub loans in foreign currencies

12. IDBI
The Industrial Development Bank of India (IDBI) was
established on 1 July 1964 under an Act of Parliament
as a wholly owned subsidiary of the Reserve Bank of
India.
In 16 February 1976, the ownership of IDBI was
transferred to the Government of India and it was
made the principal financial institution for
coordinating the activities of institutions engaged in
financing, promoting and developing industry in the
country.

13. THE PRINCIPAL SOURCE OF FUNDS
OF IDBI
Share capital and reserves
Borrowing from government of india and RBI
Market borrowing by way of bonds
Deposits and other borrowings
Repayment of past assitance by borrowers
Foreign currency borrowings from worid
banks
Asian development banks and international
markets

14. OBJECTIVES and FUNCTIONS
Planning,promoting,developing industries
• Co-ordinating the working in institutions
engaged in financing
• Undertaking market and investment
research
• Providing technical and administrative
assitance
• Subsidiaries

15. Operational Activities
Direct Assistance
Indirect Assistance
Refinance Schemes
Refinance Scheme for industrial
rehabilitation
Automatic Refinance Scheme
Refinance Scheme for modernisation
Bills Rediscounting Scheme

16. contd.
Soft loan scheme for modernisation
Seed capital assitance scheme
SFCs special share capital schemes
Development assistance fund(DAF)

17. ICICI
ICICI (INDUSTRIAL CREDIT AND INVESTMENT
CORPORATION OF INDIA) Bank Ltd.
ICICI is an Indian diversified financial services company
headquartered in Mumbai, Maharashtra.
The Bank has a network of 2,630 branches and 8,003 ATM's in
India, and has a presence in 19 countries, including India.

18. OBJECTIVES OF ICICI
Assisting in the creation
Expansion
Modernisation of such enterprises
Encouraging and promoting the
participation private capital
Encouraging and promoting private
ownership

19. FUNCTIONS OF ICICI
Assistance to industries
Provision of foreign currency loans
Merchant banking
Letter of credit
Project promotion
Housing loans
Leasing operations

20. THANK YOU