{"id":28788,"date":"2020-06-28T16:33:13","date_gmt":"2020-06-28T11:03:13","guid":{"rendered":"https:\/\/kashmir.today\/?p=28788"},"modified":"2020-06-28T16:33:13","modified_gmt":"2020-06-28T11:03:13","slug":"sp-cuts-axis-bank-rating-on-risks-to-banks","status":"publish","type":"post","link":"https:\/\/kashmir.watch\/?p=28788","title":{"rendered":"S&#038;P cuts Axis Bank rating on risks to banks"},"content":{"rendered":"\n\n\n<h4 class=\"wp-block-heading\"><em><strong>Says economy to fall into recession, asset quality to deteriorate, credit costs to rise<\/strong><\/em><\/h4>\n\n\n\n<p>S&amp;P Global Ratings on Friday downgraded Axis Bank\u2019s rating to BBB- from BB+ saying the rating action reflected its view that economic risks had increased for banks operating in India.<\/p>\n\n\n\n\n\n<p>\u201cWe have lowered our ratings on Axis to reflect our expectation that heightened economic risks facing India\u2019s banking system will affect the bank\u2019s asset quality and financial performance,\u201d it said.<\/p>\n\n\n\n\n\n<p>S&amp;P said while Axis\u2019s asset quality was superior to the Indian banking sector average, its level of non-performing assets (NPAs) will likely remain high compared with the international peers. The rating major has placed ratings of Indian Bank on \u2018Credit Watch\u2019 as it sees high risk that the public sector bank\u2019s credit profile could weaken over the coming quarters due to COVID-19 as well as the merger with the weaker Allahabad Bank.<\/p>\n\n\n\n\n\n<p>S&amp;P expects the Indian economy to slip into recession in the current fiscal year and anticipate Indian banks\u2019 asset quality to deteriorate, credit costs to rise, and profitability to decline over the next 12 months.<\/p>\n\n\n\n\n\n<p>\u201cWe affirmed the ratings on the other banks we rate in India,\u201d S&amp;P added.<\/p>\n\n\n\n\n\n<p><em>With inputs from <a href=\"https:\/\/www.thehindu.com\/business\/Industry\/sp-cuts-axis-bank-rating-on-risks-to-banks\/article31926958.ece\">The Hindu<\/a><\/em><\/p>\n\n\n","protected":false},"excerpt":{"rendered":"<p>Says economy to fall into recession, asset quality to deteriorate, credit costs to rise S&amp;P Global Ratings on Friday downgraded Axis Bank\u2019s rating to BBB- from BB+ saying the rating action reflected its view that economic risks had increased for banks operating in India. \u201cWe have lowered our ratings on Axis to reflect our expectation [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":28798,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-28788","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"_links":{"self":[{"href":"https:\/\/kashmir.watch\/index.php?rest_route=\/wp\/v2\/posts\/28788","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/kashmir.watch\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/kashmir.watch\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/kashmir.watch\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/kashmir.watch\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=28788"}],"version-history":[{"count":0,"href":"https:\/\/kashmir.watch\/index.php?rest_route=\/wp\/v2\/posts\/28788\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/kashmir.watch\/index.php?rest_route=\/"}],"wp:attachment":[{"href":"https:\/\/kashmir.watch\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=28788"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/kashmir.watch\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=28788"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/kashmir.watch\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=28788"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}