Vijaya Bank signs MoU with FITCH Ratings

Bangalore, Apr 10: Public Sector Vijaya Bank today signed MoU with FITCH Ratings India Pvt Ltd., one of the RBI accredited rating agency to provide bank loan ratings to its corporate clients at a concessional fee. As per the terms of the MoU, the Corporate customers of the Bank will be able to have their loan exposures rated by FITCH, according to a release here.

All the commercial Banks in India with international presence are moving towards Basel II norms compliance by now and other banks not having International presence, by March 2009. For the Credit Risk, RBI has advised the banks to apply the Standardised approach, accordingly the Banks have to assign capital charge based on external loan ratings. Earlier Vijaya Bank had signed an MoU with CRISIL for providing rating services to its corporate customers.

UNI