S&P Global Upgrades Ratings Of 10 Indian Financial Institutions, Including SBI, HDFC Bank

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Posted by AI on 2025-08-17 05:16:12 | Last Updated by AI on 2025-08-17 06:44:18

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Global credit rating giant S&P has upgraded the long-term credit ratings of 10 Indian financial institutions, reports the Economic Times. The institutions that received upgrades include State Bank of India, HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank, Union Bank of India, Indian Bank, Bajaj Finance, Tata Capital, and L&T Finance.

The upgrades are in response to the institutions' improved financial profiles and a gradual normalization of the Indian financial sector's conditions. The country's economic rebound from the COVID-19 pandemic, bolstered by the rapid vaccination program, has aided in restoring confidence in the Indian economy and financial institutions.

S&P believes the banks will continue to exhibit consistent improvement in their financial performance and risk profiles. With the upgrades, SBI, ICICI, HDFC Bank, and Kotak Mahindra Bank now have "stable" ratings, while Axis Bank, Union Bank of India, Indian Bank, and L&T Finance are now rated "positive."

Bajaj Finance and Tata Capital were upgraded to "BB" from "BB-," the first step away from non-investment grade. The upgrade reflects the companies' sustained improvement in their competitive positions and the expectation that they will continue to maintain robust financial performance and a strong market position despite facing ongoing challenges. These upgrades are a testament to the resilience and stability of the Indian financial sector and signify a positive outlook for the country's economy.

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