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Indian Bank to raise another USD 500 mn ECB by Dec-end; USD 1 bn total planned, MD says

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Indian Bank to raise another USD 500 mn ECB by Dec-end; USD 1 bn total planned, MD says

Indian Bank to raise another USD 500 mn ECB by Dec-end; USD 1 bn total planned, MD says

“Of the additional USD 500 million, the bank plans to raise USD 150 million shortly and complete the remaining borrowing by December-end,” MD & CEO Binod Kumar told ETBFSI.

Chennai based public sector lender Indian Bank plans to raise another USD 500 million through external commercial borrowings (ECB) by December-end, including a USD 150 million tranche shortly, taking its total ECB raising to USD 1 billion, MD & CEO Binod Kumar told ETBFSI. “I have already raised USD 500 million through ECBs. I think I will raise another USD 500 million, taking the total to USD 1 billion,” Kumar said. Of the additional USD 500 million, the bank plans to raise USD 150 million shortly and complete the remaining borrowing by December-end. “I will be doing USD 150 million shortly, and the balance will be done by December-end,” he said.

The bank is looking at the ECB market despite the current unfavourable market environment, as it is able to secure a good rate. “Markets are not very favourable, but I am getting a good rate in ECBs. If somebody comes to me to borrow through ECBs, they will also have to give a good rate,” Kumar said. “If I am able to make some margin there, I will do it. The associated risk is not there,” he added. The RBI had introduced a concessional US dollar-rupee swap facility for eligible ECBs and overseas foreign currency borrowings (OFCBs) in June 2026 to encourage foreign-currency inflows.


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