Canara Bank to raise ₹5,000cr via Tier II bonds
Canara Bank is gearing up to raise ₹5,000 crore by issuing Basel III Tier 2 bonds—₹2,000 crore as the base and another ₹3,000 crore if demand is high.
This move helps boost the bank's capital so it can lend more.
The bond sale kicks off February 26, 2026 on the NSE.
ICRA rates these bonds as AAA (Stable)
ICRA has given these bonds a AAA (Stable) rating—meaning they're considered super safe.
Canara Bank's strong government backing (with over 62% ownership) and its recent streak of not needing extra government funds helped secure this top rating.
Canara Bank's financial health
Canara Bank keeps things healthy with a CET1 ratio at 12.37%, gross NPAs down to just 2.08%, and net NPAs at only 0.45%.
The bank also holds about a 6% market share in net advances and keeps plenty of liquidity on hand—well above what's required.