Moody’s has upgraded the long-term foreign currency deposit ratings of 14 domestic lenders, which include State Bank, ICICI Bank, Axis Bank, Bank of Baroda, Bank of India, Canara Bank, Central Bank of India, Exim Bank, HDFC Bank and IDBI Bank amongst others.
According to a press release issued by the global rating agency, the rating for these banks has been upgraded to Ba1 from Ba2, taking into account the fact that all domestic banks have a global local currency (GLC) deposit rating higher than Ba1. The other ratings assigned to these banks remain unaffected by this.
Banks such as Central Bank of India, IDBI Bank, Oriental Bank of Commerce, Punjab National Bank and Syndicate Bank had their last ratings taken on October 21, 2009 after their GLC deposit ratings were downgraded due to Moody’s adjustment of the systemic support indicator for India. The last rating action for Axis Bank, Bank of Baroda, Bank of India, Canara Bank, HDFC Bank, ICICI Bank, State Bank of India and Union Bank of India was taken on November 18, 2009.