India’s largest public sector lender, State Bank of India (SBI), has approved a proposal to examine long-term fundraising of up to $2 billion through overseas bond issuances during FY2026-27.
In an exchange filing on May 12, SBI said that the Executive Committee of the Central Board, in its meeting held on Monday, approved plans to explore fundraising in single or multiple tranches under the Reg-S/144A route. The fundraising may be carried out through a public offer and/or private placement of fixed or floating rate bonds denominated in US dollars or other major foreign currencies.
The bank stated that the proposed fundraising could be up to “US$ 2 Billion (US$ Two Billion)” during the current financial year.
The move is aimed at strengthening SBI’s long-term funding profile and enhancing access to global capital markets. Overseas bond issuances allow Indian banks to diversify funding sources and raise capital at competitive rates depending on global market conditions.
Reg-S and Rule 144A are internationally recognised frameworks that enable companies and financial institutions to raise funds from foreign investors, particularly in the US and global debt markets.
SBI has been an active participant in overseas fundraising in recent years, tapping international investors through dollar-denominated bond issuances to support business growth and lending requirements.
The development comes at a time when Indian lenders are increasingly looking at global markets to secure long-term capital amid rising credit demand and infrastructure financing opportunities.