INDUSTRIAL DEVELOPMENT BANK OF INDIA

Prepared by, Aiswarya Prasad

INTRODUCTION
IDBI stands for Industrial Development Bank Of India . Primarily set up to render monetary services to Indian industries. IDBI was found in the year 1964.

It is an undertaking of the public sector.

THE WORKING OF IDBI

Input

Process

Output

INPUTS

Every financial institute

requires

inputs. The main input for a bank is money in any form. For different banks, the sources of funds are different.

For IDBI, the main sources of income or inputs are : 1. FIXED DEPOSITS.
2. CURRENT DEPOSITS. 3. SAVINGS DEPOSITS.

Apart from these, the other sources are:

1. 2. 3. Interests on loans and borrowings. Charges on services rendered. Overdrafts.

THE TANGIBLE INPUTS

The other inputs which are required in a financial institute are : 1. Manpower. 2. Office and appliances. 3. Machines and technology.

PROCESS
The intermediate processes of a financial institute includes:
1. Check clearance. 2. Allocation of funds. 3. Confirmation of accounts. 4. Advertising. 5. Negotiating instruments, etc.

OUTPUTS

The outputs of a financial institution are as follows : 1. Loans. 2. Financial services. 3. Security of savings. 4. Instruments of negotiation, etc.

LIMITATIONS

Low on marketing and advertising

strategies. Competition from Private banks.

 The technology are not as

developed. Lack of efficient human resources. Governed by rules and regulations.

RECOMMENDATIONS

Necessary to open more branches. More resources should be allocated in

the Indian market. Short advertising campaign to gain long term benefits with more intensity.

 The bank should alter the rates of

interest. Pay more attention towards its FDs. Make full use of technology. Improve its production downtime.

CONCLUSION
IDBI has played an important role, particularly in the pre-reform era in catalyzing broad based industrial development in the

country in keeping with its government oriented development banking charter.

THANK YOU THANK YOU