ICICI Bank has launched an offshore syndicated loan worth around $1.45 billion, joining other Indian banks that are raising funds from international markets. The move helps banks benefit from an RBI facility that reduces hedging costs.
Initially, ICICI Bank signed a $1 billion loan with Bank of America. Later, it invited other global lenders such as Mizuho Bank, Mashreqbank, and United Overseas Bank to participate, increasing the total loan amount.
The 4-year loan is priced at 110 basis points above the SOFR (Secured Overnight Financing Rate). More banks may join the syndication process, which could further increase the loan size.
This comes after ICICI Bank raised $1 billion through 5-year international bonds last month—its first overseas bond issue in nearly 10 years.
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