IDBI Bank plans to raise to Rs 3,000 Crores through additional tier-I (AT-1) bonds in FY23 to fulfil regulatory norms and business growth. It is also looking to raise over Rs 1,000 Crores through infrastructure bonds to fund projects and affordable housing.

The Board of Directors approved the rupee bond borrowing limit of Rs 8,000 Crores for FY23 to borrow one or more shares. This will include AT-1 bonds over Rs 3,000 Crores and infrastructure bonds up to Rs 1,000 crore to be issued through private placement in FY23, the bank said to the Bombay Stock Exchange (BSE). The bank’s capital adequacy ratio stood at 16.75 per cent, with a tier-I of 14.13 per cent at the end of December 2021. The lender is up for strategic divestment along with the transfer of management control by the Government of India and Life Insurance Corporation of India (LIC) in FY23.