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Canara Bank to issue 30B rupees of Tier 2 bonds

Canara Banksaid April 13 that it received board approval to raise 30 billion rupees by issuingBasel III-compliant Tier 2 bondsby way of private placement.

The bonds will carry a coupon rate of 8.40% per year and thesubscription period is from April 18 to April 27.

Proceeds from the issuance will be used to support the bank'sasset growth and help maintain its capital adequacy ratio.

As of April 13, US$1 wasequivalent to 66.50 Indian rupees.