State Bank of India (SBI) has approved raising Rs 10,000 crore through infrastructure bonds during the financial year 2023. This will include a green shoe option of Rs 5,000 crore.

"Raising Infrastructure Bonds up to an amount of Rs 10,000 crore (including a green shoe option of Rs. 5,000 crores) through a public issue or private placement, during FY23," SBI said in its regulatory filing.

Last week, SBI chairman Dinesh Kumar Khara said that the bank expects its credit growth to sustain while keeping its net non-performing asset (NPA) ratio below 1%.

In the September quarter, SBI's gross NPA eased to 3.52% from 3.91% in the preceding quarter and 4.9% in the earlier-year quarter. 

Similarly, net NPAs dropped to 0.8% from 1% in June 2022 quarter and 1.52% in September 2021 quarter.

The country’s largest bank reported credit growth of 19.93% in the fiscal second quarter ended September 2022.

SBI expects its credit to grow at 14%-16% for FY23 as the economy has started picking up after slowing down since the outbreak of Covid-19 in early 2020.