What does GDB mean in BANKING

Government Development Banks (GDBs) offer short-term loans to businesses, long-term loans for development programs, and special credit programs for low-interest housing and other social projects. In addition, they can provide general banking services such as basic deposit accounts, international transfers, payment processes, foreign exchange trading and investment banking services.

A Government Development Bank (GDB) is owned by the government and provides banking services to government entities as well as corporations and individuals.

Through a Government Development Bank (GDB), investors have access to fixed income securities such as bonds with both local currency options or foreign currency options. In addition, foreign exchange trading is possible which includes options contracts swaps & derivatives risk management instruments etcetera.

A Government Development Bank helps the public by offering credit at reduced interest rates on housing related projects or those that promote economic development in some way such as entrepreneurial assistance programs or support of small businesses initiatives.

Yes. The approval process from private banks will typically be more stringent than obtaining financing from a Government Development Bank because there is more regulation involved with the latter's lending practices due to being owned by the government. Additionally, requirements set by regulatory bodies may affect the amount of funding available or timing of approval in comparison to private sector lenders.