Fund-Raising Can Support Future Lending Growth

ICICI Bank provides another important banking-sector lesson. The bank has been particularly active in raising dollar-denominated debt after the RBI introduced a discounted foreign-currency deposit window.

had raised about $3.05 billion through four deals, making it the largest issuer among Indian banks in this period. For beginners, borrowing money is not automatically positive or negative. What matters is how efficiently the bank deploys the funds and what return it earns on them. Investors should track loan growth, deposit growth, net interest margin, credit costs and return on equity. The latest available market data also showed ICICI Bank closing around ₹1,425 on 28 August, after declining about 1.3% that day. Learning point: always connect a company's fund-raising activity with its future earnings potential rather than interpreting the headline alone.