The proceeds of the bond will be utilized to enhance long- term resources for funding infrastructure and affordable housing segment, State Bank of India (SBI) said in a statement.
The issue was oversubscribed 3.27 times or bids worth ₹16,366 crore, against the base issue from 143 bids, demonstrating the confidence of the investor class, the bank said.
The coupon represents a spread of 17 basis points over the corresponding government security, indicating high quality of credit.
SBI Chairman Dinesh Khara commenting on the successful bond sale said that infrastructure development is a key priority for the country and SBI, being the largest lender, has been in the forefront for advancement of social, green and other infra projects.
These long-term bonds will help the bank in furthering the cause of infrastructure development, he added.
The bond has AAA-rating from domestic credit raters.
Meanwhile, on the retail e-rupee issuance by the Reserve Bank from Thursday, the SBI chairman said the pilot retail-CBDC (central bank digital currency) is a game-changer with durable effects that should ensure better monetary transmission at much lesser cost.
The anonymity factor is critical for its acceptance. It collaborates, complements and completes the currency architecture in vogue, while also incubating further innovation, Khara added.
