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SBI and Axis Bank plan to expand domestic M&A financing, following RBI's new framework.
State Bank of India plans to expand its financing for domestic mergers and acquisitions, following the Reserve Bank of India’s development of a framework to allow banks to fund such deals.
SBI Chairman Challa Sreenivasulu Setty said the bank is prepared to support Indian companies in domestic M&A, building on its existing role in overseas acquisitions.
The RBI’s shift to an Expected Credit Loss provisioning system, set for implementation in FY27, is expected to have minimal impact due to a five-year transition period.
SBI is also advancing vendor financing using UPI transaction data and exploring UPI-based farm loans.
Meanwhile, Axis Bank announced plans to enter the M&A financing space, aiming to compete with foreign banks and private equity firms, with regulatory approval pending.
SBI y Axis Bank planean expandir el financiamiento de fusiones y adquisiciones domésticas, siguiendo el nuevo marco del RBI.