S&P Global cites strong recovery in Indian financial sector

Mumbai, June 27 (KNN) India’s financial sector is undergoing a strong recovery phase, said S&P Global Ratings on Tuesday raising its assessment of India's banking sector.

India's 'Banking Industry Country Risk Assessment', an indicator of an economy's financial sector, has been raised one notch to 5 from 6 earlier, the rating agency said in a note.

Risk scores range from 1 to 10, with 10 signalling the highest risk.

In its latest assessment S&P said, “We believe asset quality will continue to strengthen, benefiting from structural improvements in the operating environment and India's good economic prospects.”

The rating agency also upgraded four financial institutions and raised its assessment of the credit profiles of four banks.

Bajaj Finance, Hero Fincorp, Shriram Finance, and Union Bank of India were upgraded by one notch each.

The standalone credit profiles of HDFC Bank, ICICI Bank, and State Bank of India were also raised by one mark.  (KNN Bureau)