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 GROUP MEMBERS
1. Hina Shaikh (1075)
2. Roohi Jaiswal (1074)
3. Suchi Khantwal (1076)
4. Pragya Dhakar (1064)
5. Joel Jose (1097)
6. Priyank Sanghvi (1090)
 ±HAT IS PROJECT
FINANCE
ßProjectfinancing is an innovative and timely financing technique that
has been used on many high-
high-profile corporate projects.

ßProject Financing discipline includes understanding the rationale for

project financing, how to prepare the financial plan, assess the risks,
design the financing mix, and raise the funds.

ß Project finance is finance for a particular project, such as a mine,

toll road, railway, pipeline, power station, ship, hospital or prison etc

ßIn a no recourse or limited recourse project financing, the risks for a

financier are great. Since the loan can only be repaid when the
project is operational, if a major part of the project fails, the financiers
are likely to lose a substantial amount of money.
 FORM OF PROJECT FINANCING
ß *
 

ß



ß  

ß 
 
ß 
   
 STEPS IN PROJECT FINANCING

ß m  
m

ß  m

ß m*m

ß   m**
ß Federal Bank
ß IDBI Bank
ß Dena Bank
ß SBI Bank
ß Citi Bank
ß Canara Bank
uestionnaires
On what basis the project finance is
given to a company?
ß It should be in private /public sector
sector..
ß It should be technically sound.
ß It should have good prospects of being
profitable.
ß It should be environmentally and socially
sound.
±hat kinds of Project Finance do
you deal with?
Ä





%
%

%
%

or orate Finance nfrastructure Finance ural Finance etail Finance

±hat are the other sources of
financing a project?
à


 
 


toc ssue Lease inancing on s nsurance Others

±hat are the time periods for which
you provide project finance?

„
 

to yrs to yrs to yrs to yrs

 ±hat are the risks involved in
Project Finance?
ß
m m 

 
 *m* 



mm* 

m  
m 
±hat are the causes of Project
Failure?
ß Delay in Completion
ß Poor Management
ß Unstable political environment
ß oss of competitive position in the market
place
ß Technical Failure
±hat factors do banks consider when
evaluating a project for financing?




     
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 ±hat are the documents required
for applying for project finance?
ß Memorandum of Articles of Association
ß Audited accounts of the company
ß Copy of agreements
ß Copy of letters from suppliers
ß Copy of Government letters for
collaboration
ß Master plan of the project
 ±hich are the main lending
institutions of project finance?
ß EXIM Bank
ß Power Finance Corporation imited
ß Unit Trust of India
ß Indian Railway Finance Corporation of
India
ß Industrial Finance Corporation of India
Conclusion