Moody's changes the Ratings of Indian Banks and Financial Institutions
Moody's Investors Service has changed the outlook for the long-term foreign currency (FC) deposit ratings of a number of Indian banks (currently all rated Ba2) to stable from negative in line with the recent change of the foreign currency deposit ceiling outlook for India. The banks affected are: Bank of Baroda, Bank of India, Canara Bank, Central Bank of India, ICICI Bank Ltd, Oriental Bank of Commerce, Punjab National Bank, State Bank of India and Union Bank of India.
The current ratings are all placed at the corresponding FC deposit rating ceiling for such deposits in India. For most of the banks this is based on their stand-alone financial strength, while for the weaker public-sector banks government support is imputed in the ratings.
Moreover, Moody's has upgraded to Baa3 from Ba1 the rating on the $100 million global bond maturing 2009 of Power Finance Corporation (PFC) and the $150 million eurobonds maturing 2004 of Industrial Development Bank of India (IDBI) as well as the foreign currency issuer rating of IFCI Limited, subsequent to an earlier similar rating action on India's foreign currency debt ceiling.
Moody’s notes that these ratings are all closely linked to India’s sovereign ratings, given the government ownership and the importance of these financial institutions. Stable outlooks have been assigned to all three ratings. (February 2004)
Rating of Power Finance Corporation...Read Moody's Comments
Rating of Industrial Development Bank of India...Read Moody's Comments
Rating of IFCI...Read Moody's Comments
Rating of Punjab National Bank...Read Moody's Comments
Rating of Central Bank of India...Read Moody's Comments