Home Full Forms I IDBI Full Form

IDBI Full Form

IDBI Full Form

IDBI Full Form: What Does IDBI Stand For?

Do you want to know what is full form of IDBI is? Then, here you will come to know what Does IDBI stand for? Also all possible Full Form of IDBI.

IDBI Full Form

The term IDBI has many full forms, but out of which most relevant full form is-

IDBI Full Form is – Industrial Development Bank

On July 1, 1964, the Industrial Development Bank of India (IDBI) was set up. It continued to operate as a Reserve Bank of India affiliate until February 16, 1976. (Wholly-Owned Subsidiary). It was then accorded the status of an autonomous corporation by the government.

The main objective of setting up of Industrial Development Bank is to upgrade the level of industrialization of the nation and to take an active part in the establishment of projects related to industrial development. Along with the fulfillment of this basic objective, it becomes imperative for this type of bank to fulfill industrial finance as industrial development would not have been possible without proper arrangement of finance. Therefore, these two objectives can be said to be mutually complementary.

The two objectives for which the Industrial Development Bank was set up by the government are as follows:

(a) To coordinate the policies and functions of various financial institutions related to industrial finance as a central institution and to lead them all in the development of industrial finance in an organized manner so that each institution works in their respective fields. While doing so, it can be helpful in accomplishing the same purpose; And

(b) Encouraging the development of certain industries, such as chemical fertilizers, ferrous alloys, special steel, petro-chemicals, etc., with a view to removing the industrial imbalance of the country. These are industries in which the chances of immediate or substantial profitability are low, but the development of which is very important from the point of view of accelerating the economy.

The Industrial Development Bank (IDBI) was demerged from the organization of the Reserve Bank from 16 January 1976 (till then it was a subsidiary of the Reserve Bank). For this, the Industrial Development Bank Act was amended. In its reorganized form, the Development Bank was assigned a broader role like that of an Apex Institution in which it was entrusted with the important task of coordinating the work of various institutions working in the field of development banking.

Now the Board of Directors of this Development Bank can have 22 Directors (including Chairman). At present, it has 19 operators. The nomination of the Chairman is done by the Central Government and the nomination of the Vice-Chairman by the Reserve Bank. Its governing board also has representatives from other affiliated institutions.

The share of the Reserve Bank in the share capital of the State Financial Corporations and the Unit Trust (UTI) of India was transferred to the Development Bank (IDBI). Now the central government has also got the right to give directions to this bank.

Financial Resources of Industrial Development Bank of India:

Financial sources of Industrial Development Bank of India are:

(i) share capital,

(ii) Loans from the Government of India and the Reserve Bank,

(iii) Issuance of bonds and debentures.

(iv) loans in foreign currency,

(v) public deposit and

(vi) Grants and assistance.

In addition to the above-normal means of industrial development, there are some other sources from which it can take loans if needed. Notable in this category are the “National Industrial Credit (Long Term) Fund” set up by the Reserve Bank and the “Development Assistance Fund” set up by the Government of India.

Functions of Industrial Development Bank of India:

The scope of the bank has been broadened to include all those functions which are carried out by our existing finance corporations.

All work related to finance and development are included in their agenda, which are as follows:

(i) To Provide Loans:

The bank provides long-term loans to all types of industrial institutions. It also has the right to buy in debt instruments issued by such institutions.

(ii) To Give Guarantee of Loans:

This bank has the right to guarantee the deferred payments of loans and exports taken by industrial institutions in the capital market or from banks. The bank can also guarantee for the liabilities arising out of underwriting by banks and other financial institutions. This would create a favourable environment for federal underwriting or joint underwriting in India.

(iii) To Give Refinance Facilities:

The Industrial Development Bank provides refinance facilities for long-term loans ranging from 3 to 25 years by designated financial institutions and for loans ranging from 3 to 10 years given by scheduled banks and cooperative banks to industrial institutions. This period can also be more than 10 years.

What is IDBI Bank Full Form

Full Form of IDBI Bank is – Industrial Development Bank of India

LMV Full Form

What Does IDBI Stand For?

IDBI stands for – Industrial Development Bank of India

What is Full Forms of IDBI

Now, here is the complete Full-Form list of the term IDBI.

Sr. No.TermCategoryIDBI Full Form
1IDBIInternet SlangI Don't Believe It
2IDBISurgeryIndex for Deep Burn Injuries
3IDBIMedicalIndex of Deep Burn Injury
5IDBIBankingIndustrial Development Bank of India
6IDBIUncategorizedIndustrial Development Bank of Israel
9IDBIBusinessIndustrial Development Bond Insurance
10IDBIStock ExchangeIndustrial Development Bond Issuer
11IDBIBankingIndustrial Developmental Bank of India
12IDBIBusinessIndustry Development Bank of India
13IDBIIndustrialInterior Design Billings Index

Final Words:

I hope you get what you want to know about IDBI. If you want to know the full forms of other term, then please ask by comments or email. Your valuable comments are always welcome.



Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.