Home / Economy / News / Icra to review rating methodology, factor in 3-month Covid-19 disruption

Icra to review rating methodology, factor in 3-month Covid-19 disruption

The rater will now redraw its projections assuming that a business-as-usual operating environment may not return soon

Premium

A view of the Janpath Market wearing a deserted look during the Covid-19 lockdown in New Delhi. Photo: PTI

3 min read Last Updated : Apr 29 2020 | 12:15 AM IST

Rating agency ICRA is revisiting its rating methodology to reflect coronavirus disease (Covid-19)-related dislocations, as it sees some critical sectors sliding into high-risk category after the nationwide lockdown ends.

The agency will now redraw its projections, assuming that a “business as usual” situation might not return soon.

“Because of the Covid-19 crisis, the credit profile of a large number of sectors and entities has become vulnerable,” the rating agency said in a statement.

The high-risk category would include critical sectors such as aviation, ports, seafood, gems & jewellery, microfinance institutions, shipping, textiles, tourism, hotels and restaurants, among others.

These are

What you get on BS Premium?

Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
Pick your 5 favourite companies, get a daily email with all news updates on them.
Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
Preferential invites to Business Standard events.
Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.

VIEW ALL FAQs

Need More Information - write to us at assist@bsmail.in