* NSB considers 10-year tenure bond - sources
* HSBC, Citibank, Barclays are to manage the bond
* Sri Lanka will not go for a sovereign bond this year
By Shihar Aneez
COLOMBO, June 7 (Reuters) - Sri Lanka's state-owned NationalSavings Bank (NSB) is likely to sell up to $1 billion of globalbonds by the end of this month, officials said on Friday, thebiggest corporate bond issue so far.
The bank's decision to tap the international market comes asthe Sri Lankan government itself has decided not to go for aninternational sovereign bond this year after selling eurobondsfor three consecutive years.
"We have given the clearance. Our maximum limit is $1billion. We will see the rate and decide it," Deputy TreasurySecretary S.R. Attygalle told Reuters.
Three sources with knowledge of the deal said the proposedpaper will be a 10-year bond. "Since yield on U.S. treasury ison the rise, the bond might be priced at a higher rate," onesource said.
HSBC, Citibank NA and Barclays willbe the lead managers for NSB's international bond sale, sourcestold Reuters in March.
The last major corporate issue was in 2012 when state-ownedBank of Ceylon sold a $500 million five-year bond at a 6.875percent yield.
NSB is the only bank whose deposits are fully guaranteed bythe government.
The bank's investments in government securities accountedfor 72 percent of its total deposits of 422.06 billion rupees($3.31 billion) as of Sept. 30, 2012.