CURRENT AFFAIRS

Detailed explanation-1: -Industrial Development Bank of India (IDBI) was constituted under the Industrial Development Bank of India Act, 1964 as a Development Financial Institution (DFI) and came into being on July 01, 1964, vide GoI notification dated June 22, 1964.

Detailed explanation-2: -As a result, IDBI Bank is not a nationalized bank because LIC now owns most of its shares. IDBI began as a subsidiary of the RBI, not like remaining nationalized banks in the country, that began as private banks prior being moved to the public sector for government ownership.

Detailed explanation-3: -in terms of the provisions of Section 44A of the Banking Regulation Act, 1949 providing Page 2 for voluntary amalgamation of two banking companies. The merger became effective from April 02, 2005. Merger of United Western bank with IDBI Ltd.

Detailed explanation-4: -IDBI Bank Ltd. has inherited a rich legacy from its predecessor entity - Industrial Development Bank of India – which was an apex Development Financial Institution (DFI) in the realm of industry from July 1, 1964 to September 30, 2004.