ICRA launches new credit rating system for infrastructure

Rating agency ICRA Ltd on Wednesday announced the country’s new credit rating system for the infrastructure sector, in line with the announcement made in the budget 2016 document.

"The new rating framework will be a comment on the expected loss of a project entity, which would factor in the probability of default and the recovery prospects," the agency said in its media statement.

The new credit system was part of the 2016 budget announcements made for the infrastructure sector. The new system was to give emphasis to various inbuilt credit enhancement structures instead of relying upon a standard perception of