CORRECTION - AU Small Finance Bank upgraded by CRISIL rating agency

The bank enjoys strong financial fundamentals and CRISIL rating agency has UPGRADED the rating of Bank from A+ to AA-

(CORRECTION - Correction in the heading of story. Due to an editorial error, the word 'downgrade' was used instead of 'upgrade' in the story on credit rating of AU Small Finance Bank by CRISIL. In fact, the bank enjoys strong financial fundamentals and CRISIL rating agency has UPGRADED the rating of Bank from A+ to AA-. The editorial team of Devdiscourse apologize for the error.)

Rating agency CRISIL has upgraded AU Small Finance Bank's rating for its long-term debt instruments from 'A+' to 'AA-' that signifies a high degree of safety and very low credit risk.

"This upgrade is quite reassuring in the present market conditions. It will significantly help us build one of the most trusted, customer focused, retail bank from India in the long term and create value for all stakeholders," Sanjay Agarwal, MD and CEO of the bank headquartered at Jaipur, said.

The rating upgrade, which was done on Wednesday, has reaffirmed the strengths of our banking franchise, portfolio quality and capital position, he said.

According to the credit rating agency's rating definition, instruments with 'AA-' are considered to have a high degree of safety regarding timely servicing of financial obligations.

Such instruments carry very low credit risk. "AU Bank long-term instruments have got a rating of AA- from all four rating agencies including CARE Ratings, India Ratings and ICRA Ratings," the statement said.