ABSTRACT
India is a sovereign, secular, democratic republic with a parliamentary system of government. The political structure laid down by the Indian Constitution is federal in nature with three tiers of governments at central, state and local government levels. In India, domestic commercial banks, and specialised infrastructure financing institutions are among the major domestic sources for debt financing to infrastructure projects. The domestic commercial banks such as State Bank of India (SBI), ICICI Bank Limited and Industrial Development Bank of India Limited (IDBI Ltd) are among the lending institutions actively involved in financing infrastructure projects. The origin of IDBI Ltd can be traced to its predecessor entity the Industrial Development Bank of India (IDBI), a development financial institution established by an Act of Parliament in 1964. Increasingly, the Indian Public Private Partnership (PPP) market has been gaining attention of the international infrastructure developers.
