State Bank of India (SBI) on Wednesday said its board has approved Rs 10,000 crore capital raising plan through Tier I bonds.

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The fund raising through Additional Tier 1 (AT1) capital up to an amount of Rs 10,000 crore is subject to Government of India concurrence, the bank said in a regulatory filing.

The Central Board accorded an approval for raising capital by way of issuance of Basel III compliant debt instrument in INR and/or any other convertible currency, up to FY24, it said.

The fund would help the bank grow its loan book.

Last week, SBI had announced that its personal banking advances, excluding high value home loans, have crossed the Rs 5 lakh crore-mark.

The country's largest lender took a year to book the last Rs 1 lakh crore of advances, as against over 15 months for the previous Rs 1 lakh crore and over 30 months for the Rs 1 lakh crore before that.