Three institutional finance companies are:
1. Industrial Finance Corporation of India
2. Industrial Development Bank of India
3. Unit Trust of India
1. Objectives of Industrial Finance Corporation of India:
- To provide medium and long term credit to eligible industrial concerns.
- To provide loan and advances for the establishment, expansion, diversification and modernisation of industries.
- To provide technical, legal and marketing assistance to industries.
- It also provides a guarantee for loans raised by industrial concerns in the capital market.
2. The objective of Industrial Development Bank of India:
- It provides financial support to all industrial concerns without any restrictions.
- It also provides refinancing facilities on the loans granted by banks and other financial institutions.
- To invest in shares and debentures.
- To provide technical support.
3. Objectives of Unit Trust of India:
- It mobilizes public savings under US – 64 and master shares plan.
- Collecting the savings of Public and Promote growth.
- Providing direct assistance to Industrial units.
- Joining hands with other financial institutions and promoting growth.
