ICRA to assign ratings to SBI's loans

Mumbai, Sep 7 (UNI) Credit rating agency ICRA would assign ratings to the country's largest bank State Bank of India (SBI)'s loans and other exposures.

State Bank of India (SBI) has signed a Memorandum of Understanding (MoU) with ICRA under which the rating agency would rate the Bank's loans and other exposures under the standardised approach of RBI's New Capital Adequacy Framework for Basel-II, ICRA disclosed to the Bombay Stock Exchange (BSE).

ICRA's ratings for the standardised approach would enable SBI to assign the new risk weights applicable to its borrowers under Basel-II. The risk weights would be linked to the various rating categories and would be as per RBI guideline.

''To assist potential and existing borrowers of SBI in obtaining ratings, ICRA is offering special terms to the clients of SBI covered by the MoU,'' the rating agency said in a communication to the BSE.

UNI