BANKING AFFAIRS

Detailed explanation-1: -was incorporated as a Banking Company under the Companies Act, 1956 on September 27, 2004. Thereafter, the undertaking of IDBI was transferred to and vested in IDBI Ltd. with effect from October 01, 2004.

Detailed explanation-2: -Industrial Development Bank of India (IDBI): Industrial Development Bank of India was established under the Industrial Development Bank of India Act, 1964. It is the principal financial institution that provides credit and other facilities for developing industries and assisting development institutions.

Detailed explanation-3: -(2) The Development Bank shall be a body corporate with the name aforesaid having perpetual succession and a common seal with power, subject to the provisions of this Act, to acquire, hold and dispose of property and to contract, and may, by that name sue or be sued.

Detailed explanation-4: -Commenced operations in July 1964. IDBI established as a subsidiary of the Reserve Bank of India with the purpose of providing long term industrial finance. Took over business of Refinance Corporation for Industry in September, 1964.

Detailed explanation-5: -The SIDBI (Small Industries Development Bank of India) is a wholly-owned subsidiary of IDBI (Industrial Development Bank of India), established under the special Act of the Parliament 1988 which became operative from April 2, 1990.