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The National Bank for Financing Infrastructure and Development Act, 2021

Central

An Act to establish the National Bank for Financing Infrastructure and Development to support the development of longterm non-recourse infrastructure financing in India including development of the bonds and derivatives markets necessary for infrastructure financing and to carry on the business of financing infrastructure and for matters connected therewith or incidental thereto.

Act number
17 of 2021
Ministry
Ministry of Finance
Department
Department of Financial Services
Enacted
28 Mar 2021

Source: IndiaCode Portal, Legislative Department, Ministry of Law and Justice, Government of India. Open on India Code Check against the official text before relying on it.

48 sections

  1. Section 1Short title, extent and commencement.
  2. Section 2Definitions.
  3. Section 3Establishment and incorporation of Institution.
  4. Section 4Purposes and objectives of Institution.
  5. Section 5Authorised share capital.
  6. Section 6Board of Directors.
  7. Section 7Management
  8. Section 8Delegation of powers.
  9. Section 9Term of office and other terms and conditions of service of Chairperson and other directors of Board.
  10. Section 10Disqualification and removal of directors from office.
  11. Section 11Removal of Chairperson and other directors in certain cases.
  12. Section 12Vacation and resignation of office by directors.
  13. Section 13Meetings of Board.
  14. Section 14Defects in appointment not to invalidate acts, etc.
  15. Section 15Committees of Board.
  16. Section 16Disclosure of interest by members of Board or of committees.
  17. Section 17Functions and powers of Institution.
  18. Section 18Prohibited business.
  19. Section 19Related party transactions.
  20. Section 20Performance review of Institution.
  21. Section 21Grants and contribution.
  22. Section 22Concessional rate of Government guarantee.
  23. Section 23Hedging costs.
  24. Section 24Disposal of profit accruing to Institution, to reserve fund.
  25. Section 25Preparation of balance sheet and accounts.
  26. Section 26Audit.
  27. Section 27Returns and report.
  28. Section 28Receivables to be held in trust.
  29. Section 29Setting up of other development financial institution.
  30. Section 30Officers and employees.
  31. Section 31Powers of Central Government to make rules.
  32. Section 32Powers of Board to make regulations.
  33. Section 33Rules and regulations to be laid before Parliament.
  34. Section 34Protection of action taken in good faith.
  35. Section 35Sanction for enquiry, inquiry, investigation and prosecution.
  36. Section 36Appointment of directors by Institution to prevail.
  37. Section 37Validity of loan or advance not to be questioned.
  38. Section 38Obligations as to fidelity and secrecy.
  39. Section 39Adjudication.
  40. Section 40Indemnity of directors.
  41. Section 41Bankers’ Books of Evidence Act, 1891 to apply in relation to the Institution.
  42. Section 42Section 34A and 36AD of the Banking Regulation Act, 1949 to apply to Institution.
  43. Section 43Liquidation of Institutions.
  44. Section 44Powers of Central Government to issue directions.
  45. Section 45Overriding effect of this Act.
  46. Section 46Power to remove difficulties.
  47. Section 47Amendment of Act 2 of 1934.
  48. Section 48Amendment of Act 10 of 1949.