Note issuance facility
Also found in: Acronyms, Encyclopedia, Wikipedia.
Note issuance facility (NIF)
Note Issuance Facility
An agreement by a syndicate of banks to buy short- and/or medium-term notes from an issuer in the event that it is unable to sell the notes on eurocurrency markets. This effectively provides credit for the issuer because, even if the issuer cannot place an issue, it will still be able to raise the funds it seeks. A note issuance facility thereby reduces the risk to an issuer of short- and medium-term debt securities.