State Bank of India (SBI), the country’s largest bank, is preparing to raise up to ₹25,000 crore ($2.9 billion) through a qualified institutional placement (QIP) of shares as early as next week. The SBI has not confirmed the move.
The proposed share sale, if fully subscribed, could become India’s largest-ever QIP, surpassing the ₹22,560 crore offering by Coal India in 2015. The bank’s board had approved the fundraising plan in May.
While the final contours of the deal are yet to be confirmed and may be subject to change, the move is part of a broader capital-raising push by central government-run banks. A senior government official said on Wednesday that state-owned banks plan to raise around ₹45,000 crore via QIPs in the current financial year (2025–26).
The fundraising comes as Indian banks look to bolster capital buffers, fund growth, and meet regulatory requirements amid strong credit demand and a buoyant equity market.
