SBI raises $1 billion in offshore syndicated loan
State Bank of India (SBI) has raised $1 billion, or double the amount originally envisaged, in an offshore syndicated loan arranged by HSBC and subscribed by lenders across continents, demonstrating the enduring appeal of local financial companies for overseas investors that expect New Delhi to be the undisputed global growth leader in a geopolitics-ravaged 2024.
«The success of this transaction reflects the improvement in the bank's credit and business profile, which is the result of tremendous work put in by SBI as a team over the years,» SBI Chairman Dinesh Khara said exclusively to ET.
«In addition, we have also benefited from favourable macroeconomic conditions, including a largely stable currency and domestic yields, despite the volatility in overseas markets,» he said. The deal represents the «largest sole-underwritten transaction for an Indian borrower since 2018,» a source aware of the development told ET.
SBI, with the biggest branch network and a share of about a fifth in all outstanding bank credit in the country, is often seen as a proxy by analysts for loan demand and deposit options in a country that is increasingly financialising its savings.
