various types of financial
Government has set up several national level and state level financial institutions for providing financial assistance industrial emprises in throaty. Industrial Development Bank of India (IDBI) Industrial Finance Corporation of India (IFCI), Industrial Credit and Investment Corporation of India (ICICI) and Industrial Reconstruction Bank of India (IRBI) are the main examples of financial institutions sat the national level. State level financial institutions include State Financial Corporations, State Industrial Development Corporations ad State Industrial investment Corporations. All these financial institutions are nonusers development banks because their main object is to promote industrial development.
Financial institution like IDBI, IFCI, ICICI, etc. Play an important role as a source of company finch. These institutions provide the following types of financial assistance:
These institutions provide medium-term and long-term finance for expansion and modernization of existing industrial entries and for establishment fond enterprise.
They subscribe to the shares and debentures of companies.
They underwrite the public issues of shares and debentures.
They guarantee loans raised by industrial concerns form our sources.
They provide loaned in foreign currency for the import of machinery equipments.
These institutions provide guarantees in respect of purchase of capital goods from foreign countries on deferred payment basic.
They offer technical assistance insetting up new projects.
Posted on 30th October 2007
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