Mumbai (Maharashtra)

Union Bank of India on Monday said its Committee of Directors for fund raising (Non-Capital) has approved the issuance of long-term bonds and green bonds/sustainable bonds to raise funds for infrastructure, affordable housing and other initiatives.

According to a circular issued by the Union Bank of India, the committee approved the "issuance of Long-Term Bonds amounting upto Rs 20,000 crore in one or more tranches for financing of infrastructure & affordable housing."

The bank added that it will explore raising part of this amount in the current financial year, i.e. before March 31, 2026. The circular stated that "the Board approved plan; out of which bank may explore opportunities to raise Rs 7,500 crore (Base Issue - Rs 3,000 crore + Green shoe option - Rs 4,500 crore) with tenor of 10 years before 31.03.2026."

In addition, the committee also cleared the plan to raise funds through green or sustainable bonds.

The circular said the committee approved the "issuance of Green Bonds/Sustainable Bonds amounting upto Rs 5,000 crore in one or more tranches."

The decisions were taken during the meeting of the Committee of Directors for fund raising held on Monday.

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As mentioned in the circular, "the Committee of Directors for fund raising (Non-Capital) in its meeting held on 16th March, 2026, inter-alia, considered & approved" the proposals related to bond issuances.

The bank also informed that the meeting "commenced at 10.00 A.M. and concluded at 10.20 A.M."