[amp_mcq option1=”Take over the functions of small business financing of IDBI” option2=”Take over the venture capital operations of ICICI” option3=”Reconstruct and rehabilitate the sick and closed industrial units financed by IDBI” option4=”Facilitate, finance and promote India’s foreign trade” correct=”option3″]
The correct answer is: C. Reconstruct and rehabilitate the sick and closed industrial units financed by IDBI.
SIDBI (Small Industries Development Bank of India) was set up in 1989 as a subsidiary of IDBI (Industrial Development Bank of India) to promote the development of small industries in India. One of its objectives is to reconstruct and rehabilitate sick and closed industrial units financed by IDBI.
Option A is incorrect because SIDBI does not take over the functions of small business financing of IDBI. SIDBI provides financial assistance to small industries, but it does not take over the functions of IDBI in this area.
Option B is incorrect because SIDBI does not take over the venture capital operations of ICICI. SIDBI does provide venture capital financing to small industries, but it does not take over the operations of ICICI in this area.
Option D is incorrect because SIDBI does not facilitate, finance and promote India’s foreign trade. SIDBI does provide some assistance to small industries that are involved in foreign trade, but it is not its primary focus.