PNB & IIFCL Signed MoU to Finance Infrastructure projects

Current Context: Punjab National Bank (PNB) and India Infrastructure Finance Company Ltd (IIFCL) signed a Memorandum of Understanding (MoU) on June 3, 2024 in New Delhi.

• Here are the key points from the agreement:
• The MoU aims to offer long-term financial assistance to viable infrastructure projects.
• Both institutions will collaborate to fund infrastructure projects under consortium/multiple lending arrangements.
• They will provide financial support to prospective borrowers following due diligence on a case-by-case basis.
• The signing ceremony was attended by Atul Kumar Goel, MD & CEO of PNB, and Padmanabhan Raja Jaishankar, MD of IIFCL.
• This partnership is anticipated to open new lending avenues for the country’s infrastructure projects.

Question:

1 What is the main aim of the MoU signed between Punjab National Bank (PNB) and India Infrastructure Finance Company Ltd (IIFCL)?

• A) To enhance digital banking services
• B) To offer long-term financial assistance to viable infrastructure projects
• C) To expand their retail banking networks
• D) To improve international trade finance

Answer: B) The MoU aims to offer long-term financial assistance to viable infrastructure projects.