Multiple choice

Which of the following entities provides “Take out Finance” to banks engaged in financing of infrastructure projects?

  1. ICICI

  2. SIDBI

  3. IDFC

  4. RBI

Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

IDFC (Infrastructure Development Finance Company) provides 'Take out Finance' to banks engaged in infrastructure financing. Take out finance refers to a mechanism where a long-term financier takes over the loan from the original lender after the project completion phase, helping banks recycle their capital and reduce asset-liability mismatches in infrastructure lending.