CURRENT AFFAIRS

Detailed explanation-1: -14 NaBFID has also set for itself a target of providing financing assistance up to Rs 1,00,000 crores towards infrastructure projects in the first year of its operations.

Detailed explanation-2: -Our loan pipeline is ₹50,000 crore and we expect to disburse ₹15,000 crore this quarter,” Rai said. Rai said NaBFID will be different from past infrastructure finance institutions because it will play the role of a market maker and also include project advisory and policy advocacy.

Detailed explanation-3: -For financial year 2021, the proportion of infrastructure investments to the gross domestic product (GDP) was estimated to be nearly four percent.

Detailed explanation-4: -Besides lending, NaBFID can also take equity stake and more uniquely can also lean on the government for a sovereign guarantee on paying a 0.01% fee, allowing it to raise loan-term funds at a cheaper rate. The majority of the company’s borrowings will be in the form of bonds.

Detailed explanation-5: -It has been set up as a corporate statutory body with authorized share capital of one lakh crore rupees. NaBFID is regulated and supervised as an All India Financial Institution (AIFI) by the RBI under the Reserve Bank of India Act, 1934.