National Bank for Financing Infrastructure and Development: In News
The National Bank for Agriculture and Rural Development and the National Bank for Financing Infrastructure and Development (NaBFID) have signed an MoU for financing infrastructure projects with significant rural impact.
- It is a specialized Development Finance Institution in India.
- It is aimed at supporting the country’s infrastructure sector, which can significantly gain from an enabling credit flow by means of attractive instruments and channelized investment.
- NaBFID was set up under The National Bank for Financing Infrastructure and Development Act, 2021.
- Objectives is Addressing the gaps in long-term non-recourse finance for infrastructure development, strengthening the development of bonds and derivatives markets in India, and sustainably boosting the country’s economy.
- It shall be regulated and supervised by RBI as an All-India Financial Institution (AIFI).
- The principal idea behind the setup of NaBFID is to provide a dedicated and specialized institution focused on addressing the long-term financing needs of the infrastructure sector in India.
