A proposal by IDBI along with other banks and financial institutions was awaiting the final nod from the apex bank.
According to Sushil Muhnot, MD and CEO of IDBI, commodity market and capital market operations of the bank complemented each other.
A down cycle in the capital market operations would be complemented by a up cycle in the commodity market giving some kind of stability to overall operations of the institution.
Muhnot was in Ahmedabad for an official launch of IDBI's online portal for stock market investment-idbipaisabuilder.in. He said IDBI would invest initially Rs 25 crore (Rs 250 million) for the commodity venture.
It would target the retail sector. "Retail sector boom in the country has contributed significantly in boosting overall growth in the country and we would like to extend it to commodity sector", he said.
Talking about the portal, Muhnot said it would build infrastructure with an objective to deliver accelerated speed of transaction even during peak market hours.
