The Industrial Development Bank of India (IDBI) is a development finance institution that was established in 1964 under an Act of Parliament as a wholly-owned subsidiary of the Reserve Bank of India (RBI). Its primary objective is to provide financial assistance to the industrial sector in India and to promote industrial development in the country.
IDBI provides financial assistance to various sectors such as infrastructure, manufacturing, energy, and service sectors. It offers a wide range of financial products and services, including term loans, working capital finance, equipment finance, bridge finance, project finance, and other related services.
IDBI has also established various subsidiaries to expand its reach in different sectors. Some of its subsidiaries include IDBI Capital Market Services Limited, IDBI Asset Management Limited, IDBI Federal Life Insurance Company Limited, IDBI Intech Limited, and IDBI Trusteeship Services Limited.
IDBI Bank, the banking subsidiary of IDBI, is a full-service commercial bank that provides a wide range of banking services to its customers, including savings accounts, current accounts, fixed deposits, loans, credit cards, and other related services.
In recent years, IDBI has undergone significant changes. In 2019, the Government of India divested its majority stake in IDBI Bank to Life Insurance Corporation of India (LIC), making it a subsidiary of LIC. IDBI Bank has since become a private sector bank.
IDBI has been recognized for its contribution to the Indian economy and has received several awards for its excellence in banking and financial services.
In conclusion, IDBI is a development finance institution in India that provides financial assistance to the industrial sector and promotes industrial development in the country. It offers a wide range of financial products and services and has established subsidiaries to expand its reach in different sectors. IDBI Bank, the banking subsidiary of IDBI, is a full-service commercial bank. IDBI has undergone significant changes in recent years and has been recognized for its contribution to the Indian economy.