Defects of Industrial Finance and Investment Corporation of India.
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The defects of Industrial Finance and Investment Corporation of India are :
- Industrial Finance suffers a lot from capital formation which is inadequate.
- The interest rate structure isn't satisfactory as the short, medium and long term rates are neither properly aligned nor they are appropriate.
- The undeveloped financial system is another major drawback. The capital market remains small and also the risk capitals aren't adequate enough.
- Also, they are incapable of managing large industries in long term due to which expansion of Industries becomes very tough.
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