Adani Group exposures not large to pose risks to banks: Fitch, Moody's

Indian banks' exposure to Adani Group companies is not that large to significantly risk their credit profile, said global rating agencies Fitch and Moody's on Tuesday.

A statement by Moody’s though warned that risks for banks can increase if the Adani Group becomes more reliant on loans.

Banks' exposure to the group is less than one per cent of their total loans, said Moody’s, which has issued frequently asked questions about risks.

Fitch said: "We believe loans to all Adani group entities generally account for 0.8%-1.2% of total lending for Fitch-rated Indian banks equivalent to 7%-13% of total equity.

"Even in a distress scenario,