Home >Industry >Banking >PNB gets approval to raise up to 6,000 crore through bonds

Punjab National Bank's (PNB) board met on Friday to consider the proposal for raising of capital through issuance of Basel-III compliant Additional Tier-1 (AT-1) Bonds and Additional Tier-II bonds or a combination of both.

In a meeting that commenced at 11 am and concluded at 2:55 pm, the PNB board has approved the raising of capital of up to 6,000 crore. 

In a regulatory filing, the bank said its board has "approved raising of capital through issue of Basel III additional Tier-1 (AT-1) bonds or Tier II bonds or a combination of both in one or more tranches up to an amount of 6,000 crore".

Meanwhile, PNB has said that it has waived all service charges and processing fee on retail products as part of its festival season offering.

The bank has launched a festival bonanza offer to enhance the availability and affordability of credit to customers, it said in a release.

PNB now offers an attractive interest rate starting from 6.80 per cent on home loans and 7.15 per cent on car loans, it said.

In the festive offer, the bank will waive all service charges/processing fees and documentation charges on its retail products like home loans, vehicle loans, myProperty loans, personal loans, pension loans and gold loans, PNB said.

Besides, PNB is offering personal loans starting from 8.95 per cent, which is one of the lowest in the industry, it added.

It also announced offering home loan top-up at an attractive rate of interest. PNB said customers can avail these offers till December 31, 2021.

The Delhi-headquartered lender said it is confident of seeing an encouraging revival in overall consumer spending, which will help boost its credit portfolio.

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