To provide long-term, patient capital for India's massive infrastructure needs and to avoid the asset-liability mismatches faced by commercial banks, the government established the ___ in 2021.

Answer: NaBFID (or National Bank for Financing Infrastructure and Development)

NaBFID was set up as a specialized Development Financial Institution (DFI) with a target to support the National Infrastructure Pipeline. Unlike commercial banks that rely on short-term deposits, NaBFID raises long-term funds from domestic and international capital markets, providing the crucial long-gestation 'patient capital' required for massive, multi-year infrastructure projects.