Indian Bank Plans To Raise $400 Million Through ECBs This Week; May Raise Another $600 Million
Add Preferred News Source
Indian Bank is planning to raise $400 million through an ECB this week under the RBI's concessional swap window. The bank is also targeting around $2 billion through FCNR(B) deposits after strong demand from NRIs.
Indian Bank is looking to raise $400 million through External Commercial Borrowings (ECBs) as early as this week, taking advantage of the Reserve Bank of India's concessional swap window for overseas fundraising.
The public sector lender could look at another $600 million.
Bank Targets $1 Billion Through ECBs
Indian Bank plans to raise a total of around $1 billion through ECBs under the current strategy.
Kumar said the bank could consider the additional $600 million after August, depending on market conditions and the availability of the RBI's swap window.
The overseas borrowing is part of a broader fund-raising plan. Indian Bank is also targeting around $2 billion through Foreign Currency Non-Resident (Bank), or FCNR(B), deposits.
FCNR(B) Deposits See Strong Demand
The bank has already mobilised around $1.5 billion through FCNR(B) deposits, with strong participation from non-resident Indians.
Kumar said the product has attracted interest because of the returns available to depositors. The bank expects FCNR(B) deposits to reach around $2 billion.
The RBI introduced the special US dollar-rupee forex swap facility on 8 June. The facility covered FCNR(B) deposits until 30 September and ECBs and Overseas Foreign Currency Borrowings (OFCBs) until 31 December.
The central bank, however, closed the FCNR(B) window ahead of schedule after seeing strong foreign currency inflows.
As of 13 August, RBI data showed that $52.3 billion had been mobilised through FCNR(B) deposits, while OFCBs and ECBs accounted for $2.81 billion and $1.74 billion, respectively, under the scheme.
Indian Bank Expands Digital Initiatives
Indian Bank also marked its 120th Foundation Day on 15 August.
As part of the celebrations, the bank inaugurated 15 branches across different parts of the country through a virtual event. The lender said the expansion is aimed at taking banking services closer to customers and communities.
The bank also introduced several digital initiatives. These included voice banking services using registered mobile numbers in three languages.
To strengthen awareness around online security, Indian Bank launched a cybersecurity mascot called 'IB CYBER CAPTAIN', as part of its broader customer awareness efforts.
Also Read - Patanjali Foods Q1 FY 2026-27 Results
This article is for informational purposes only and should not be considered investment advice from Kotak Neo. For compliance T&C and disclaimers, Visit www.kotakneo.com/disclaimer
Vishwa is a content and SEO strategist with 10+ years of experience across fintech and FMCG. She has a knack for connecting dots others miss, spotting trends early, and finding angles on topics most miss to question.
At Kotak Neo, she drives content strategy for neoshorts, Kotak News Desk, and Investing Guide.
Outside work, she's drawn to art, painting and architecture, and enjoys travelling to explore them firsthand.
