SBI raises $300 million via London bonds following RBI swap facility
Business
State Bank of India (SBI) has pulled in $300 million by selling bonds abroad, thanks to a new Reserve Bank of India (RBI) move that makes borrowing in foreign currency cheaper for public sector and infrastructure companies.
The bonds, issued through SBI's London branch, are part of a push to help Indian firms access global money without the usual high costs.
Three-year bonds pay SOFR plus 1%
These three-year bonds pay interest every quarter at a rate tied to SOFR (the Secured Overnight Financing Rate, an international benchmark), plus one percent.
This deal shows how RBI's swap facility is making it easier (and more affordable) for big Indian players to fund infrastructure projects and grow, all while keeping borrowing costs low.