In a positive development, Power Finance Corporation (PFC) witnessed a nearly one percent surge in early trade on January 10, following the green light from the Reserve Bank of India (RBI) to establish a finance company within Gujarat’s GIFT City, an International Financial Services Centre (IFSC).
RBI Nod Boosts PFC Shares
The RBI issued a no objection letter on January 9, signaling approval for PFC’s venture into setting up a finance company at GIFT City. This move is anticipated to elevate PFC’s standing in the financial sector.
Strategic Partnership with Gujarat Government
Prior to this milestone, PFC had already entered into an initial agreement with the Gujarat government. The agreement focused on PFC providing comprehensive financial support for the state’s projects related to power generation, transmission, and distribution.
Global Expansion and Business Prospects
PFC’s foray into the IFSC at GIFT City is expected to unlock new business avenues and solidify the company’s global footprint. This strategic move aligns with PFC’s objective to establish a strong presence beyond domestic borders.
Important Questions Related to Exams
What led to the nearly 1% surge in Power Finance Corporation (PFC) shares on January 10?
- On January 9, what significant development did the Reserve Bank of India (RBI) announce regarding PFC’s operations in Gujarat’s GIFT City?
- Prior to the RBI approval, what strategic partnership had PFC entered into, and with whom?
How does PFC’s entry into the International Financial Services Centre (IFSC) at GIFT City align with its overall business objectives?
Please provide your answers in the comment section!!