CRISIL downgrades Indiabulls Housing Finance's rating on fund access

The rating on the CP issue and short-term non-convertible debenture programme has been reaffirmed at 'A1+'

Rating agency CRISIL has downgraded Indiabulls Housing Finance’s (IBHFL) long-term rating from “AA+” to “AA” citing continued challenges on funding access diversity faced by the firm.

CRISIL also revised the outlook on the long-term ratings to ‘Stable’ from ‘Negative’. The rating on the commercial paper (CP) issue and short-term non-convertible debenture programme has been reaffirmed at ‘A1+’. While there has been some improvement in funds raised by IBHFL in Q3FY20, they have mostly come from the banking channel and continue to remain lower than the pre-September 2018 levels.

The incremental fund raising from the debt capital markets has remained very low in