Axis Bank Secures $500 Million in Offshore Loan from MUFG

As per The Bloomberg report, Axis Bank has secured a $500 million offshore loan facility from Mitsubishi UFJ Financial Group (MUFG), highlighting growing funding requirements among Indian lenders amid strong credit demand. 

Axis Bank Secures 3 Year Offshore Facility 

The 3 year offshore loan facility has been priced at the Secured Overnight Financing Rate (SOFR) plus an interest margin of 85 basis points. 

Axis Bank plans to utilise the proceeds for lending activities as well as general business purposes. The loan is also being syndicated to a wider group of lenders following the initial arrangement. 

Girish Vasnani, Director in the Capital Markets Group at MUFG, confirmed that the Japanese financial institution acted as the sole mandated lead arranger and bookrunner for the transaction. 

Loan Growth Continues to Outpace Deposits 

The fundraising comes at a time when Indian banks are witnessing faster growth in advances compared with deposits, increasing pressure on funding requirements across the sector. 

Axis Bank’s total loan book expanded 19% during the financial year ended March to ₹12.3 trillion, equivalent to nearly $130 billion. In comparison, deposits grew at a relatively slower pace of 14% during the same period. 

The latest offshore borrowing is expected to strengthen the bank’s funding position as credit demand continues to remain strong in the domestic market. 

Read More: Kotak Mahindra Bank Share Price in Focus; Gets RBI Nod to Acquire Upto 9.99% Stake in South Indian Bank! 

Axis Bank Share Price Performance  

As of 08 May 2026, at 9:37 AM, Axis Bank Ltd share price is trading at ₹1,275.30 per share, reflecting a decline of 1.35% from the previous closing price.  

Conclusion 

The offshore fundraising highlights the increasing focus among Indian banks on securing diversified capital sources as strong credit growth and expanding loan books continue to drive funding requirements across the sector. 

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