SBT inks MoUs with rating agencies

State Bank of Travancore (SBT) has signed MoUs with the four credit rating agencies "" Icra, CARE, Fitch and Crisil "" to rate bank loans.

As per the MoUs, these agencies will assign ratings to SBT's loans and other exposures under the standardised approach of RBI's New Capital Adequacy Framework for Basel""II. This would enable SBT to assign the new risk weights applicable to its borrowers under Basel-II.

To assist potential and existing borrowers of SBT in obtaining ratings, these agencies would offer special terms to the bank's clients. Loan pricing will also bear reference to such external ratings solicited by the borrower.

The bank, meanwhile, opened 10 ATMs across various locations in Kerala during February, a bank release stated.