New Delhi: Finance Minster Nirmala Sitharaman on Monday introduced the National Bank for Financing Infrastructure and Development (NaBFID) Bill 2021 in the Lok Sabha to pave way for setting up of a government-owned DFI to fund infra projects.
The Union Cabinet had last week approved a budget proposal of setting up a Development Finance Institution (DFI), which will have tax benefits to enable fund raising from investors.
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The National Bank for Financing Infrastructure and Development will be set up with a corpus of Rs 20,000 crore and the government will give an initial grant of Rs 5,000 crore.
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The government expects the DFI to leverage this fund to raise up to Rs 3 lakh crore in the next few years.
(PTI)
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