Banking · Project Finance
In project finance, lenders primarily examine whether the project can independently generate sufficient and stable cash flows over time to service debt, rather than relying mainly on the wider balance sheet of the sponsoring company. In this context, project finance is best described as a structure in which repayment depends principally on:
- 1Secondary market valuation of project shares
- 2Dividend policy of the sponsor
- 3Cash flows and assets of the project itself✓
- 4Government budgetary support
Correct answer
Cash flows and assets of the project itself
Download Single Question PDF
Save this question and verified answer as a clean study sheet with live clickable link.
Share with Friends & Study Groups
Challenge your peer aspirants on WhatsApp or Telegram to solve this question!
Preparing for Banking?
Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.
Want more practice questions on Project Finance?
Solve complete topic-wise tests with detailed solutions on GkGet.
Related Practice Questions
Recommended practice questions in Banking · Project Finance