Mumbai: The State Bank of India (SBI), the country’s largest public sector lender, has received board approval to raise up to $3 billion in long-term funds during the financial year 2025-26 (FY26). The bank stated it will raise the funds in single or multiple tranches through public offers or private placements of senior unsecured notes denominated in US dollars or other major foreign currencies under Reg S/144A frameworks.
In a regulatory filing to the stock exchanges, SBI said, “The Executive Committee of the Central Board in its meeting held on May 20, 2025, has approved, inter alia, to examine the status and decide on long-term fund raising of up to $3 billion… during FY 2025-26.”
The announcement follows SBI’s declaration of its Q4 FY25 results on May 3, where the bank reported a 10% year-on-year decline in standalone net profit to ₹18,642.59 crore, compared to ₹20,698.35 crore in the same quarter last year. However, the bank posted strong operational performance, with its annual operating profit crossing ₹1 lakh crore, reaching ₹1,10,579 crore – a 17.89% YoY increase. The Q4FY25 operating profit also grew by 8.83% YoY to ₹31,286 crore.
Additionally, SBI has announced plans to raise up to ₹25,000 crore in FY26 via Qualified Institutional Placement (QIP) or Follow-on Public Offer (FPO) as part of its capital-raising roadmap.
The bank also declared a dividend of ₹15.90 per share (1,590%) for FY25, with a record date of May 16 and the dividend scheduled to be paid on May 30.
SBI’s asset quality showed notable improvement during the quarter. Gross non-performing assets (NPAs) fell to 1.82% from 2.24% at the end of FY24, while net NPAs improved to 0.47% from 0.57%.
The bank’s proactive capital-raising plans and improved asset quality reflect its strategic focus on strengthening its balance sheet, expanding its global footprint, and supporting India’s economic growth.
About State Bank of India
State Bank of India (SBI) is an Indian multinational public sector bank and financial service body headquartered in Mumbai. It is the largest bank in India with a 23% market share by assets and a 25% share of the total loan and deposits market. It is also the tenth largest employer in India with nearly 250,000 employees. As of 2024, SBI has 50 crore customers.