State Bank's board to take call on raising capital via tier I bonds

State Bank of India (SBI) said its board will meet on December 14 to decide on raising capital through Tier I bonds.

As per a regulatory filing, SBI said it will seek "approval for raising of Additional Tier 1 (AT 1) capital by way of issuance of Basel III compliant debt instruments in INR and / or any other convertible currency through a public offer or private placement to Indian and / or overseas investors up to March 31, 2024."

The fundraise would help the bank grow its loan book.

Earlier this week, SBI announced that its personal banking advances, excluding high value home loans, have crossed the Rs 5 lakh crore-mark.

The country's largest lender took a year to book the last Rs 1 lakh crore of advances, as against over 15 months for the previous Rs 1 lakh crore and over 30 months for the Rs 1 lakh crore before that.

SBI has 22,309 branches, over 65,000 automated teller machines and 66,757 business correspondent outlets, which drive its entire retail banking franchise.

Earlier in July, the board had approved raising up to Rs 11,000 crore through Basel-III compliant debt instruments.