State Bank of India (SBI) on Tuesday said the executive committee of its central board has approved a proposal to raise Rs 10,000 crore via infrastructure bonds.
The fund raise comes at a time the domestic banking sector is witnessing a strong demand for credit which is now at a decadal high of 17 per cent.
In December, SBI had raised a similar amount. It had reportedly set a coupon of 7.51 per cent for the bonds which will mature in 10 years.
The bonds were rated AAA by Crisil and India Ratings. Shares of SBI on Tuesday ended flat at Rs 612.35 on the BSE.
On Monday, the Reserve Bank of India (RBI) said that SBI, along with private sector lenders ICICI Bank and HDFC Bank continue to be domestic systemically important banks (D-SIBs).
The central bank had announced SBI and ICICI Bank as D-SIBs in 2015 and 2016.
Based on data collected from banks as on March 31, 2017, HDFC Bank was also classified as a D-SIB.
The current update is based on data collected from banks as on March 31, 2022 and the framework for dealing with D-SIBs was issued in July 2014.