Objectives Of The IFCI Bank

IFCI bank is not licensed as a bank but provides financial support or services to the scheduled caste entrepreneurs, which is the principal objective of IFCI. IFCI stands for ‘Industrial Finance Corporation of India.’ As the name states, it provides financial support to industrial growth across the country. 

Finance is the central issue while beginning a project or plan, larger the project larger will be the amount to fulfil the necessities of the project or plan. This requirement is fulfilled by IFCI bank. Even back in the days, after the independence of India, the economy became significantly weak and stagnant; thus, due to this reason, IFCI was established.

What is IFCI bank?

❖ The IFCI means ‘Industrial Finance Corporation of India’. The Government of India established it right after attaining independence in 1948 on the 1st of July.

❖ The IFCI bank adheres to issuing loans to manufacturing and industrial companies.

❖ The IFCI bank has been developed since it was first established and is presently listed in the National Stock Exchange of India Ltd (NSE) and formerly Bombay Stock Exchange (BSE). 

❖ The IFCI bank provides guaranteed loans to business persons who belong to the Scheduled Caste (SC).

❖ The IFCI bank also constructed a few institutions, namely:

• Rashtriya Gramin Vikas Nidhi
• Management Development Institute
• Institute of Leadership Development 

What are the objectives of IFCI?

• One of the significant objectives of IFCI is to issue short-term yet effective or long-term financial support and assistance to the projects or plans regarding the industrial and manufacturing section, which contributes to the development of the country economically. 
• The IFCI bank helps suggest the plans, promote these plans, and, lastly, develop the industries.
• Financial support and assistance are the main criteria for every entrepreneur, and since the establishment of IFCI occurred, these significant criteria have been fulfilled. 
• The IFCI bank handles all the financial needs of the entrepreneur.
• The IFCI bank does not just provide financial support to new business individuals but also provides financial support in certain situations where the accommodations of banking are unfitting or in a situation where the funds for stock exchange are unfeasible.
• The financial activities of the IFCI bank include projects like the renovation of roads or making roads, building airports, power supply to the society, business involving real estate, telecommunication, manufacturing of various products, and industrialisation.
• The IFCI bank employees are very customer-oriented and provide solutions that focus on the customer’s needs and satisfaction. 
• Economically IFCI bank plays a pivotal role in the improvement of the country.
• The IFCI bank officials are flexible in issuing personalised solutions regarding the financial necessities to meet the requirements of the projects such as oil, gas, chemicals, textiles, airports, roads, urban area development, real estate and metals.
• The IFCI bank also gives facilities to customers from small corporate, mid-corporate or large corporations. The loans provided by the IFCI can also be short-term, which can meet-up up the needs of the business.
• The IFCI is a customer-friendly and focused on the development of the organisations by dispensing financial necessities and facilities for the contentment of all the shareholders
• The IFCI bank takes up all the issues with pure honesty and bias-free.
• The IFCI bank has a strict rule regarding the commitment to complete the commitment with devotion.

What Objectives of the IFCI Bank are Particularly Beneficial for Entrepreneurs?

• The employees in the IFCI bank are required to deliver fast responses.
• The IFCI bank provides loans in foreign currency and rupees.
• The IFCI bank ensures the entrepreneur or organisation makes all payments.
• The IFCI bank ensures the raising of money by providing shares
• The IFCI bank also takes part in the promotional schemes
• The IFCI bank sanctions loans for the companies from the Central Government
• The IFCI also provides consultancy to the small scale entrepreneurs for deciding the cost management of the project

Conclusion

The IFCI bank is an accommodating facility introduced by the Government of India to grow the industrial economy at a time when the entire economy of the country was in shambles. It helps the new entrepreneurs to start up their careers by providing financial support, guiding in every step of the business, planning and promoting the business.

It provides money and comes up with easy and logical ideas for starting a business and managing the cost of the project. The IFCI bank has been working after independence and has been part of significant projects like airports, roads etc.