The country's largest bank, SBI, is now preparing to raise $1.25 billion. News agency Bloomberg mentioned this in a report and said that this will be the largest loan ever taken in dollars in the country's financial sector. CTBC Bank, HSBC Holdings and Taipein Fubon Bank are negotiating for this 5-year loan. For this, the interest margin of the risk-free secured financing rate will be 92.5 basis points.

The report quoted sources as saying that SBI is taking this loan for general corporate purposes through its GIFT City branch in Gujarat. This deal is being done through syndicate with other financiers. However, there has been no statement from SBI in this regard. SBI is raising funds through foreign currency debt in collaboration with other borrowers this year. Amid strict regulations in the domestic market, especially non-banking finance companies (NBFCs) are raising funds through dollars. Cholamandalam Investment & Finance is the most recent NBFC to raise 300 million through syndicate facility. Apart from this, another bank Union Bank has also taken a loan of 81 million dollars for 3 years through its Sydney branch. Bank of Baroda has raised a loan of 750 million dollars. However, despite all these activities, dollar loan volume in India declined by 27% this year to only 14.2 billion dollars. Actually, this volume has seen a decline because no company has taken a loan in this dollar amount. In July this year, SBI had raised loans worth 750 million dollars.