India’s ICICI Bank is preparing to issue at least $500 million in offshore benchmark bonds, marking its first dollar-denominated debt sale in nearly nine years.
The lender is expected to structure the deal as a five-year issuance, joining peers HDFC Bank and Axis Bank in leveraging a recent regulatory concession from the Reserve Bank of India (RBI) that allows greater flexibility in foreign currency funding through swap windows.
The move underscores a broader shift in how major Indian financial institutions are managing liquidity and funding costs amid persistent global interest rate levels.
By accessing international capital markets, ICICI aims to diversify its funding base and potentially lower its cost of capital compared to domestic rupee-denominated borrowing.
The issuance also reflects growing confidence among international investors in Indian banking sector fundamentals, despite macroeconomic headwinds.
This development follows similar steps by other large Indian lenders, who have increasingly turned to offshore markets to raise long-term funding.