S&P affirms Indian Bank's 'BBB-' rating, removes from CreditWatch

Rating agency Standard and Poor’s (S&P) has affirmed ratings for Indian Bank at “BBB-” on expectation of ability to absorb a moderate deterioration in its asset quality over the next 12 months.

The Chennai-based public sector lender is expected to benefit from faster-than-expected economic recovery in India.

Rating agency removed the ratings from CreditWatch, where they were placed with negative implications on June 26, 2020. Another public sector lender Allahabad Bank was merged with Indian Bank on April 01, 2020.

Outlook on financial instrument is negative due to asset quality and capital risks. It reflects the view that the bank's capital and asset