BANKING:GOVERNMENT ENTITIES IN BANKING

GOVERNMENT ENTITIES IN BANKING
  1. Small Industries Development Bank of India (SIDBI)
    1. Established in 1990, headquarters Lucknow
    2. The main objective of the SIDBI is to aid the growth and development of micro, small and medium scale industries in India
    3. It provides direct credit to micro, small and medium enterprises, supports microfinance institutions and refinancing to state level finance bodies
  2. Industrial Development Bank of India (IDBI)
    1. Established in 1964, headquarters Mumbai
    2. The IDBI is the tenth largest development bank in the world. It is one of India’s largest public sector bank
    3. Its main objective is to provide credit and other banking facilities to industries in India
    4. However, in 2004 the IDBI was re-designated as a commercial bank, following the Industrial Development Bank (Transfer of Undertaking and Repeal) Act 2003, and renamed IDBI Ltd
    5. Following this, the commercial banking division, IDBI Bank was merged into IDBI
  3. Industrial Finance Corporation of India (IFCI)
    1. The IFCI is the first development finance institution in the country to cater to the needs of Indian industry
    2. Established 1948, headquarters New Delhi
    3. The IFCI was established to provide long term low interest credit to corporate borrowers
    4. In 1993, the IFCI was re-registered as a commercial company under the Indian Companies Act 1956, and renamed IFCI Ltd
  4. National Bank for Agricultural and Rural Development (NABARD)
    1. Partly owned by the RBI
    2. Established 1982, headquarters Mumbai
    3. NABARD serves as the apex development bank in India for economic activities in rural areas
    4. The main objective of NABARD is to facilitate credit flow for agriculture and small scale industries
    5. NABARD provides refinance to State Cooperative Agriculture and Rural Development Banks (SCARDBs), State Cooperative Banks (SCBs), Regional Rural Banks (RRBs), Commercial Banks and other financial institutions approved by the RBI
    6. NABARD coordinates the rural financing activities of all institutions engaged in developmental work
    7. NABARD has 28 regional offices (state capitals), one Sub Office (in Port Blair) and one Special Cell (in Srinagar)
    8. NABARD is famous for its Self Help Group (SHG) Bank Linkage Programme, which serves as an important tool for microfinance
  5. National Housing Bank (NHB)
    1. Wholly owned subsidiary of the RBI
    2. Established in 1987, headquarters New Delhi
    3. Established mainly to provide long term finance to individual households
  6. Export-Import Bank of India (EXIM Bank)
    1. Established 1981, headquarters Mumbai
    2. The main objective of the EXIM Bank is to provide financial assistance to exporters and importers with a view to promoting the country’s international trade
    3. It acts as the apex financial institution for financing foreign trade in India
  7. Bharatiya Reserve Bank Note Mudran Private Ltd (BRBNMPL)
    1. Wholly owned subsidiary of the RBI
    2. Established in 1995, headquarters Bangalore
    3. Main function is to augment the product of bank notes to meet demand
    4. The company manages two presses: Mysore and Salboni (West Bengal)
  8. Deposit Insurance and Credit Guarantee Corporation (DICGC)
    1. Wholly owned subsidiary of the RBI
    2. Established in 1962, headquarters Mumbai
    3. India was one of the first countries to provide deposit insurance
    4. Main objective is to provide insurance to depositors against collapse and bankruptcy of banks
    5. Provides deposit insurance coverage up to Rs 100,000