Role of IFCI in industrial developments in India
At the initial stage of Indian independence, the Capital Markets were relatively less developed. Though demand for capital was growing rapidly, there was a lack of providers of capital. The commercial banks of that time were not equipped well enough to provide for long-term capital needs in any significant manner. Given this, the Government of…
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Industrial Development Bank of India (IDBI)
At the beginning of post-independence, the role of commercial banking in India was limited to working capital financing on a short-term basis, so the thrust of DFIs was on long-term finance to the industry and infrastructure sector in India. The role of DFIs was to recognize the gaps in institutions and markets in our financial…
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Industrial Credit Investment Corporation of India (ICICI)
The Industrial Credit and Investment Corporation of India (ICICI), the first development finance institution in the private sector, came to be set up in January 1955, with the backing and funding of the World Bank. The primary objective of ICICI was to develop small and medium industries in the private sector. After the merger of…
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Updated list of Priority Sectors identified in India and PSL lending targets and sub-targets norms
Reserve Bank of India updated the Master Circular on priority sector lending on June 21, 2024, incorporating the following updated instructions/guidelines on priority sector lending(PSL)-target and classification. This is to address regional disparities in the flow of priority sector credit at the district level, it was decided to rank districts based on per capita credit…
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Background and Structure of the Banking Regulation Act 1949
The banks in India were governed under the provision of the Indian Companies Act 1913. The act was found inadequate and unsatisfactory to regulate banking companies in India. Many banks have failed due to inadequacy of capital and a need was felt to prescribe a minimum capital requirement for banks. As there was no licensing…
Key decisions taken in 53rd GST council meeting for revision of various GST rates
The 53rd GST Council meeting was held on Saturday. Mrs.Nirmala Sitharaman Union Finance Minister presided over the meeting. “Our intent is to make GST assessees’ lives easier, simpler and less cumbersome… We are working towards less and less compliance,” Union finance minister Nirmala Sitharaman, chairperson of the body, told reporters after the council’s 53rd meeting…
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