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.
2.
3.
4.
5.

Check clearance.
Allocation of funds.
Confirmation of accounts.
Advertising.
Negotiating instruments, etc.

OUTPUTS

The outputs of a financial institution

are as follows :
1.
2.
3.
4.

Loans.
Financial services.
Security of savings.
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