SBI to raise Rs 15,000 cr in FY18

The board of State Bank of India (SBI) on Wednesday  gave a nod for raising equity capital up to Rs 15,000 crore in the next financial year to shore up capital adequacy. The approval is given to raise equity capital through routes like follow-on public offering (FPO), rights offering, overseas placement and employee stock options, SBI informed the BSE.

SBI executive said nod from the board is an enabling provision.  The bank would raise capital from the market at an opportune time, subject to approval from government of India, its majority owner, and banking regulator Reserve Bank of India.

The capital adequacy ratio stood at 13.73 per cent, with tier I at 10.65 per cent on December 31, 2016. SBI has strong capital base to support growth.