IDFC to be on a par with other DFIs: The Companies Act is to be amended suitably to place the IDFC on par with other DFIs in the matter of resource mobilisation and fiscal incentives. Fresh equity for Nabard: Fresh funds of Rs 500 crore will be infused into the Nabard. While the centre will infuse Rs 100 crore, the RBI will pump in Rs 400 crore. These equity infusions compensate for the discontinuance of LTO funds. Nabard managing director PVA Rama Rao said: "This augmentation of the share capital to Rs 2,000 crore will facilitate capital formation in rural areas."

More debt-recovery tribunals: The budget has identified non-performing asset settlements as a thrust area. In this regard, the number ofdebt-recovery tribunals is sought to be increased. Net NPAs of Indian banks, averaging 9 per cent in March 1997, should be brought down to below 5 per cent by March 2001, the finance minister said.

RIDF hiked to Rs 3,000 cr: The Rural Infrastructure Development Fund has been hiked to Rs 3,000 crore. Funds under the RIDF will be used to fund irrigation, rural roads and hi-tech areas like horticulture and cold-storage facilities. This is expected to boost private capital formation in rural areas.

SSIs to access cheaper funds: The small-scale industries will have access to cheaper funds from banks if they can furnish proof of a good track record. The finance minister said that the RBI will soon issue directives to assure that such concerns can access funds at relatively finer spreads over the prime rate. Commercial banks are to be extolled to clear loan proposals for such well-performing units at specialised SSI branch levels.

Bill discounting for SSIs: The finance ministry hasdirected the RBI to strengthen the existing mechanisms available to the small-scale industries for bill discounting. The RBI will also modify guidelines on their credit appraisal. The focus will be on the amount of overdue outstandings of SSI suppliers.

SSIs' working-capital funds: At present, the small-scale industries have aggregate working capital requirements up to Rs 2 crore and the working capital limit is determined by the banks on the basis of 20 per cent of their annual turnover. This facility is being doubled to Rs 4 crore.

Funds for RRB recapitalisation: An amount of Rs 200 crore has been earmarked for recapitalisation of the regional rural banks. The centre had pumped Rs 200 crore towards recapitalisation of the RRBs in the last fiscal.

More for self-help groups: Micro credit from the Nabard and commercial banks will cover 40,000 families and over 10,000 self-help groups. Nabard managing director PVA Rama Rao said: "The SHG scheme, which has benefited 10,000 families,will now be targeted at benefiting 40,000 families through loans, especially in north-eastern areas, which are not well banked."

Kisan Credit Card Scheme: The Kisan Credit Card Scheme will enable farmers (growing commercial crops, to begin with) to source bank loans for fertilisers and like inputs incurred up to the production stage without cumbersome documentation. This will also streamline credit-appraisal processes for bankers.

Boost to housing units: The National Housing Bank will set up over one lakh dwelling units under the Swarna Jayanti Scheme. The capital base of Housing and Urban Development Corporation is being increased by Rs 110 crore.PF investments: Provident funds will be allowed to invest up to 10 per cent of new accretions to their fund corpus in private-sector securities. PFs are to invest only in those private-sector securities with ratings from at least two credit-rating agencies.

Expert group on transfers: An expert group is to be set up to specify precise lawsregarding transfers of and transactions in properties and financial instruments.

FIIs can invest in unlisted debt: Foreign institutional investors will be allowed to invest in unlisted debt issued by corporates provided the risk is borne by such investors.