Microfinance and Development Finance

Statement I is incorrect because SIDBI was established as an independent statutory body, not as a wholly-owned subsidiary of the RBI. Statement II is correct as SIDBI assumed the responsibility of managing the Small Industries Development Fund, which was previously under the purview of IDBI. This transition was part of the effort to streamline support for the small-scale industrial sector.

Development banks are institutions that provide long-term finance for industrial and infrastructure projects. While IDBI, IFCI, and ICICI were historically established as development banks, EXIM Bank is primarily an export-import bank focused on international trade finance. Note: Some classifications may vary, but in many academic contexts, EXIM is categorized under specialized trade finance rather than general industrial development banking.