Possibly of greatest significance, the financial institutions act as an intermediary between borrowers and final lenders, providing safety and liquidity.
[1] In Post-Independence India, people were encouraged to increase savings, a tactic intended to provide funds for investment by the Indian government.
[1] According to Economic Survey 2012–13,[2] at the end of March 2012, there were four financial regulatory bodies under the jurisdiction of Reserve Bank of India as all-India Financial Institutions: In 2022, Reserve Bank of India 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.
The IDBI was established to provide credit for major financial facilities to assist with the industrial development of India.
[4] Since 1990, IDBI has set up a number of institutes, including: In 1960, the first state industrial development corporations (SIDC)[8] were established in Bihar.
They mainly work at the grass roots level, providing development in the backward and less frequented parts of India.