Corporate Banking

Funds businesses' day-to-day operational expenses — inventory purchase, salaries, accounts receivable gaps. Key instruments include:

• Cash Credit (CC): Revolving credit against stock/debtors
• Overdraft (OD): Withdraw beyond account balance up to a limit
• Bill Discounting: Advance against unpaid invoices
• Letter of Credit (LC): Bank guarantee for trade payments

Long-term financing for capital expenditure — machinery, factory construction, technology upgrades. Repaid in EMIs over a fixed tenure.

• Project Finance: For large infrastructure projects
• Equipment Finance: Machinery/plant purchase loans
• Expansion Loans: For business scaling
• Tenure: typically 3–15 years

Facilitates domestic and international trade with instruments that reduce payment and delivery risk for both buyers and sellers.

• Letter of Credit (LC): Payment guarantee to exporters
• Bank Guarantee (BG): Performance/financial guarantee
• Export Credit: Pre/post-shipment finance
• Forex Services: Currency hedging and exchange

Helps businesses optimize liquidity, manage surplus funds, and efficiently handle large-volume payment flows across multiple accounts.

• Cash Pooling: Consolidate funds across subsidiaries
• Forex Risk Management: Hedge currency exposure
• Interest Rate Swaps: Convert floating to fixed rates
• Bulk Payments: Salary, vendor payouts via NEFT/RTGS

For very large financing needs, multiple banks pool together to share the risk and provide credit that no single bank could offer alone.

• Loan amounts: ₹100 crore to thousands of crores
• Lead Arranger bank coordinates all lenders
• Common for infrastructure, real estate projects
• Shared risk reduces individual bank exposure

Large banks offer M&A advisory, IPO underwriting, private equity placement, and debt capital markets as part of their corporate banking suite.

• Mergers & Acquisitions: Due diligence and advisory
• IPO / QIP: Capital markets access
• NCD / Bond Issuance: Debt fundraising
• Valuation Services: Business worth assessment