As a development finance institution (DFI), the National Bank for Financing Infrastructure and Development (NaBFID), will facilitate cheap capital for public works programmes and projects, says Vinayak Chatterjee, Chairman, Feedback Infra Group & Chairman, Confederation of Indian Industry (CII), National Council on Infrastructure. Like the DFIs created by policymakers in the 1950s for making industrial capital accessible,...
IDFs play a vital role as investment vehicles that can be sponsored by NBFCs and commercial banks in India. Shrikanth S writes on how IDFs are correcting the asset-liability mismatch, and also help advance loans for fresh infrastructure projects. The urgent need to improve infrastructure prompted the Indian Planning Commission to estimate infrastructure spending in the 12th Five Year Plan (2012-17).
Sadashiv Rao, Chief Risk Officer, IDFC Ltd tells Rahul Kamat that IDF-NBFC is a safer route compared to IDF-Mutual Fund, as in the latter, the fund manager can invest in any project (under construction) which will have risk involved in it, and investors may not like to invest in high-risk projects.
In the 12 months to June 2013, growth of bank lending to non-banking finance companies (NBFCs) declined to 1.9 per cent compared to 44 per cent in the year-ago period. Banks are said to be wary of lending to NBFCs following stricter guidelines issued by Reserve Bank of India (RBI).
Data from media reports indicate that 12 private equity funds are raising at least $6.6 billion for investment in Asia. Reports indicate that a substantial part of this amount would be invested in Indian businesses. The financing by private equity investors would meet the funding requ
Reserve Bank of India (RBI) allowed Non-banking finance companies (NBFCs) categorised as Asset Finance Companies (AFCs) to avail of external commercial borrowing (ECB). But the central bank imposed certain conditions for such NBFCs to access ECB window. One of the condition is that they would avail ECB under the automatic route with minimum average maturity of five years. Further, the funds raised through the ECB route must
Media reports indicate that Bajaj Finserv is one of the non-banking finance companies (NBFCs) that applied for a banking license with the Reserve Bank of India (RBI). Bajaj Finserv is the holding company for the financial services businesses of the Bajaj Group. After getting license, the holding firm plans to convert the assets of its subsidiary Bajaj Finance - also known as Bajaj Finserv Lending - into a bank, reports indicate
US private equity fund (PE) Carlyle Group plans to expand its presence in India and is looking at innovative ways to deepen its India focus, Edward Mathias, Managing Director and a board member of the group, said. As part of this plan, the PE investor would set up a non-banking finance company (NBFC) lend to Indian corporates. The PE fund also plans to raise a fund in India in order to invest across sectors, including retail, defence and i