The bonds where NRIs would hold majority share and offer attractive pricing were launched here, last night, by the banks deputy managing director, S Janakiraman who said, "we are expecting a good response".

The five-year bonds are offering 8 per cent annual compounded interest in sterling terms, 7.75 per cent in dollar terms and 6.25 per cent in deutshe mark terms. SBI officials said at the earliest they expected the bonds to close anytime between 10 to 30 days.

Along with London, State Bank officials teams also launched roadshows in major European cities including Paris, Zurich, Geneva, Frankfurt, Amsterdam, Brussels and other north European commercial capitals.

The launching of the bonds were well-received with huge turnout reported of NRIs in roadshows.

"It will be a success and deserves tobe," Tory peer Lord Raj Bagri said while commenting on the Resurgent India Bonds.

"The bonds are attractively priced and would definately appeal to wider section of NRIs with close linkages to India as along with attractive interest rates the borrowers get the benefit of liberal loans and financing of enterprises in India," Bagri who is also the chairman of the London Metal Exchange added. Unlike the Resurgent India Bonds, the UTI International Bonds would be open to global fund managers, individual buyers and corporate investors.

Officials of Indian banks here said the response to the bonds would be keenly followed as it would encourage major Indian companies to come forward with their borrowing plans in the global financial markets.

Last nights roadshow for the SBI bond saw a good turnout of NRIs with Tory peer Lord Raj Bagri commenting that initial response seems to indicate a massive success.

NRI industrialist and chairman of the Hinduja group Srichand P Hinduja said the Resurgent India Bondswould restore the confidence among investors over India and its ability to meet its commitments.

He asked government to come out with other such products to attract NRI investments and even suggested sovereign bonds to lure funds from foreigners for infrastructure development.