The government has finally selected India Infrastructure Finance Co Ltd (IIFCL) as the lead promoter of a credit enhancement guarantee fund. The propaganda was announced in the February 2016 Union budget. The credit enhancement fund will be floated by a non-banking finance company (NBFC) with IIFLC holding an at least 26% stake, these people said, adding Life Insurance Corporation of India, or LIC, which was initially mooted to be the lead promoter, will hold up to a 15% stake. An IIFCL spokesperson confirmed that the company has been appointed as the lead promoter, but didn’t reveal further details.
