{"id":14526,"date":"2021-03-24T00:00:00","date_gmt":"2021-03-24T00:00:00","guid":{"rendered":"https:\/\/www.nextias.com\/current_affairs\/uncategorized\/24-03-2021\/financing-infrastructure-and-development-bill\/"},"modified":"2021-03-24T00:00:00","modified_gmt":"2021-03-24T00:00:00","slug":"financing-infrastructure-and-development-bill","status":"publish","type":"post","link":"https:\/\/www.nextias.com\/ca\/current-affairs\/24-03-2021\/financing-infrastructure-and-development-bill","title":{"rendered":"Financing Infrastructure and Development Bill"},"content":{"rendered":"<p><strong>In News<\/strong><\/p>\n<p>Recently, Lok Sabha passed the National Bank for Financing Infrastructure and Development Bill, 2021.<\/p>\n<p><strong>Objective<\/strong><\/p>\n<ul>\n<li>The bill seeks to support the <strong>development of long-term non-recourse infrastructure<\/strong> <strong>financing in India<\/strong> including the development of the bonds and derivatives markets necessary for infrastructure financing and to carry on the business of financing infrastructure.<\/li>\n<\/ul>\n<p><strong>Key Highlights of the Bill <\/strong><\/p>\n<ul>\n<li>The Bill seeks to establish the<strong> National Bank for Financing Infrastructure and Development <\/strong>(NBFID) as the <strong>principal<\/strong><a href=\"https:\/\/www.nextias.com\/website\/blog\/details\/366\"><strong> Development Financial Institution (DFIs)<\/strong><\/a> for <strong>infrastructure financing.<\/strong>\n<ul>\n<li>NBFID will be set up as a <strong>corporate body<\/strong> with an authorised share <strong>capital of one lakh crore rupees<\/strong>.<\/li>\n<li>Initially, the central government will own <strong>100% shares<\/strong> of the institution which may subsequently be reduced up to <strong>26%.<\/strong><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li><strong>Source of funds<\/strong>: NBFID may raise money in the <strong>form of loans<\/strong> or otherwise both in <strong>Indian rupees<\/strong> and<strong> foreign currencies,<\/strong> or <strong>secure money<\/strong> by the issue and sale of various <strong>financial instruments<\/strong> including <strong>bonds and debentures.<\/strong><\/li>\n<li><strong>Management of NBFID: <\/strong>NBFID will be governed by a <strong>Board of Directors. <\/strong>\u00a0\n<ul>\n<li>The members of the Board include the <strong>Chairperson<\/strong> appointed by the central government in consultation with RBI,\u00a0 <strong>a Managing Director,<\/strong>\u00a0 up to <strong>three Deputy<\/strong> <strong>Managing Directors<\/strong>, <strong>\u00a0two directors<\/strong> nominated by the central government, up to t<strong>hree directors elected by shareholders<\/strong>, and a <strong>few independent directors (as specified). <\/strong><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li><strong>Functions include: <\/strong>\n<ul>\n<li><strong>Extending loans<\/strong> and <strong>advances for infrastructure projects<\/strong>.\n<ul>\n<li>Taking over or refinancing such existing loans<\/li>\n<\/ul>\n<\/li>\n<li><strong>Attracting investment<\/strong> from<strong> private sector investors<\/strong> and <strong>institutional investors<\/strong> for infrastructure projects<\/li>\n<li><strong>Organising and facilitating<\/strong> foreign participation in infrastructure projects.<\/li>\n<li><strong>Facilitating negotiations<\/strong> with various government authorities for <strong>dispute resolution <\/strong>in the field of infrastructure financing.<\/li>\n<li><strong>Providing consultancy<\/strong> <strong>services <\/strong>in infrastructure financing.\u00a0<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><a href=\"http:\/\/newsonair.com\/Main-News-Details.aspx?id=412491\" target=\"_blank\" rel=\"noopener\">Source : AIR<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>In News Recently, Lok Sabha passed the National Bank for Financing Infrastructure and Development Bill, 2021. Objective The bill seeks to support the development of long-term non-recourse infrastructure financing in India including the development of the bonds and derivatives markets necessary for infrastructure financing and to carry on the business of financing infrastructure. Key Highlights [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":14527,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[31,62,30,26],"class_list":["post-14526","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-current-affairs","tag-government-policies-interventions","tag-growth-development","tag-gs-2","tag-gs-3"],"acf":[],"jetpack_featured_media_url":"https:\/\/wp-images.nextias.com\/cdn-cgi\/image\/format=auto\/ca\/uploads\/2023\/07\/58457316268277current-affairs.jpg","_links":{"self":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/14526","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/comments?post=14526"}],"version-history":[{"count":0,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/posts\/14526\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media\/14527"}],"wp:attachment":[{"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/media?parent=14526"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/categories?post=14526"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nextias.com\/ca\/wp-json\/wp\/v2\/tags?post=14526"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}