MUMBAI: The government has appointed veteran banker K V Kamath as the first chairperson of the National Bank for Financing Infrastructure & Development (NaBFID). Kamath has been given a three-year term and is expected to play a key role in giving shape to the new development financial institution (DFI) that will focus on providing long-term funding. For the former chief of the New Development Bank (Brics Bank), life has come a full circle and the government is keen to tap into his experience in development financing across Asia. Before taking charge at ICICI, he was part of Asian Development Bank and, during his tenure there, he worked in various projects across China, Indonesia, Philippines, Bangladesh and Vietnam. He oversaw ICICI successfully transitioning from a DFI into a universal bank. The government had proposed the new DFI – NaBFID – in the Union Budget and it is expected to start operations in a couple of months. The NaBFID Act enables the government to guarantee bonds and other debt instruments issued by the institution. In addition to NaBFID, the finance minister has exhorted the private sector to promote DFIs.