Funding

1. Medium to longer term borrowing by an undertaking to meet its operational needs.

2. The provision in advance for future liabilities in a defined benefit pension scheme by the accumulation of assets.

3. More generally, the provision or the sources of finance necessary for the continuing operation of an undertaking. In this context, sources of finance include creditors, bank lenders, bondholders and shareholders.

See also

• Defined benefit pension scheme
• FFL

References

AFP Guide to Global Short Term Borrowing: http://www.gtnews.com/Features/PDF/AFP_Guide_to_Global_Short_Term_Borrowing.pdf