NaBFID to be regulated as AIFI under RBI Act
- RBI has announced that National Bank for Financing Infrastructure and Development (NaBFID) will be regulated and supervised by it as an All India Financial Institution (AIFI) under the RBI Act, 1934.
- NaBFID will be regulated and supervised by RBI as an AIFI under Sections 45L and 45N of the Reserve Bank of India Act, 1934.
- Presently RBI has four AIFIs under it namely EXIM Bank, NABARD, NHB and SIDBI. NaBFID will be the fifth AIFI under RBI.
- NaBFID has been set up as a Development Financial Institution (DFI) to support the development of long-term infrastructure financing in India.
Points to remember:
- NaBFID shall be regulated by RBI under which act?- RBI Act 1934 (Sections 45L and 45N )
- How many AIFIs are there under RBI?- 5