Debt financing
Nabard withdraws bond issuance due to weak investor demand
The National Bank for Agriculture and Rural Development (NABARD) has withdrawn its planned three-year bond sale following a lacklustre response from market participants. The bank initially aimed to raise INR 7,000 crore, which included a greenshoe option of INR 5,000 crore, but it only received bids totalling INR 3,030 crore. The bank opted to cancel the issuance as the limited investor interest would have forced it to accept higher borrowing costs, with estimates indicating rates reaching as high as 8.04%.
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