Top Indian private banks eye $3B in dollar loans
What's the story
India's leading private banks, including HDFC Bank, are looking to raise up to $3 billion through dollar bonds or loans. The move is part of a special Reserve Bank of India (RBI) scheme that reduces the cost of hedging for offshore borrowings. The window for this scheme remains open until December 31, 2026.
Market strategy
HDFC Bank in talks for $1B raise
HDFC Bank is already in talks with foreign lenders and could raise as much as $1 billion soon.
This comes just months after its $750 million bond sale in June 2026.
The bank's CEO Sashidhar Jagdishan had said at an earnings call last month that the foreign currency non-resident (FCNR) window was a "great opportunity" and it was focusing on it.
Financial plans
Other banks exploring dollar borrowing options
Other banks considering dollar borrowing under this scheme are Federal Bank, Kotak Mahindra Bank, RBL Bank, and Yes Bank.
Each of these lenders is looking to raise between $250 million and $500 million through bonds or loans.
However, they are still working out the details as they don't usually borrow in US dollars on the global stage.