Lenders exploring OFCB route as a strategic avenue to access overseas funds
- Posted on August 27, 2026
- By Business News Today
- 1 Views
- 1 min read
In brief
Indian financial institutions are increasingly turning to overseas foreign currency borrowing (OFCB) as a primary funding mechanism to strengthen their capital positions. Following the RBI's accelerated August 31 deadline for deposit-linked initiatives, banks are reassessing their bond issuance strategies. This strategic reorientation reflects growing competition for domestic deposits and demonstrates how regulatory changes prompt lenders to diversify funding sources internationally while maintaining financial stability and meeting reserve requirements.
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Lenders exploring OFCB route as a strategic avenue to access overseas funds
Indian banks are now shifting focus towards borrowing in overseas foreign currencies to meet their fundraising requirements. This strategic pivot comes in light of an advanced deadline on August 31 that altered original plans tied to deposit-linked fundraising. With the Reserve Bank of India (RBI) moving the timeline forward, many lenders have revised their bond issuance approaches.
