IDBI Plays Safe

WHAT has gone wrong at the Industrial Development Bank? Its operations during the year ending June 30 recorded an overall decline, Sanctions (excluding guarantees) declined to Rs 44 crores from Rs 65 crores in 1966-67, and disbursements to Rs 45 crores from Rs 59 crores. The decline embraced all IDBI activities except bills re-discounted. Direct loans declined from Rs 24 crores to Rs 17 crores, underwriting from Rs 2.4 crores to Rs 2.1 crores, refinance (including export credit) from Rs 21.6 crores to Rs 10,4 crores and subscription to securities of finance institutions from Rs 9,4 crores to Rs 1.9 crores. To cap it all, IDBI had no guarantee business in 1967-68 against Rs 8.7 crores in 1966-67, Re- discounting of bills, however, increased from Rs 7.1 crores to Rs 12.4 crores.