Srinagar: The State Bank of India (SBI) has announced huge fund-raising plans in the backdrop of lagging deposit growth and higher credit growth.
According to an RBI handout, SBI, India’s largest bank, is planning to raise up to $3 billion through a public offer and/or private placement of senior unsecured notes in US dollars or any other major foreign currency in the current financial year.
As of May 17, 2024, all scheduled bank deposits had increased by 13.09 per cent y-o-y, while their credit growth stood at 19.19 per cent, underscoring the gap between deposit and credit growth, per RBI data.
In his latest bi-monthly monetary policy statement, RBI Governor Shaktikanta Das observed that the persisting gap between credit and deposit growth rates warrants a rethink by the Boards of banks to re-strategise their business plans.
A prudent balance between assets and liabilities has to be maintained, he added.
Can you buy SBI shares?
Yes. If you wish to invest some of your disposable savings and buy shares from the public offer, you can plan advance online bookings through registered platforms or registered brokers. However, before investing check read all documents carefully and sign up only after ascertaining all terms and conditions carefully.
