Page 3 - Fitch Ratings

Liquidity easing to moderate pressure on banks' net interest margins: Fitch

The Indian banking sector's NIM remains healthy at 3.5 per cent as of the first half of FY25, although it has declined from about 3.6 per cent in FY24, partly due to the upward repricing of deposits

Banks' margins to take 10 bps hit in FY26 due to rate cuts: Fitch Ratings

Last week, the RBI started its rate-cutting cycle by lowering its key policy rate by 25 bps to 6.25 per cent and said it would be watchful and proactive with liquidity measures

Pakistan faces big external financing risks despite economic growth: Fitch

Pakistan needs to repay over $22 billion in external debt in the fiscal year 2025, including nearly $13 billion in bilateral deposits, Fitch said

India's pace of debt reduction remains gradual, says Fitch Ratings

The rating agency expressed confidence in India's ability to stick to its medium-term fiscal framework and keep debt firmly on a downward path

India's rating upgrade challenge as debt woes trump fiscal prudence: Fitch

In August, Fitch affirmed India's long-term foreign currency issuer rating at 'BBB-' with a stable outlook, citing a strong medium-term growth outlook

Banks NPAs may dip to 2.4% by March despite stress in retail loans: Fitch

Robust growth, recoveries & write-offs to offset rise in slippages

Fitch upgrades Vedanta Resources' long-term ratings with stable outlook

Fitch has upgraded Vedanta Resources Ltd's (VRL) long-term foreign-currency issuer default rating following a "significant reduction" in the company's refinancing risks. The rating agency upgraded VRL's senior unsecured rating to 'B+' from 'B-' and also changed the outlook to stable, according to a statement. Besides, it has upgraded "the ratings on the USD 300 million June 2028 bonds and USD 500 million December 2031 bonds, issued by VRL's subsidiary Vedanta Resources Finance II Plc (VRF2), and unconditionally and irrevocably guaranteed by VRL, to 'B+' from 'B-' with Recovery Rating of 'RR4'," the statement said. The upgrade follows a significant reduction in VRL's refinancing risks, after it raised USD 1.1 billion in new bonds and received bank commitments for loans worth USD 350 million at the holding company, formed by VRL and other offshore investment holding companies owned by VRL, in January 2025, the statement said. Once the proceeds are used to refinance existing debt, the

India Inc's leverage to improve in FY26-27 despite high capex: Fitch

The downside risks could materialise if energy prices rise significantly, given ongoing geopolitical risks, cautioned the rating agency

Fitch revises outlook on Azure Power Energy to negative; affirms 'B' rating

AGPL is the holding company of Azure RG3

Fitch revises outlook on 4 Adani firms to 'negative' amid US indictment

The US credit rating agency places three Adani entities under Rating Watch Negative status

Fitch puts some Adani bonds on negative watch after US SEC bribery charges

US prosecutors have charged billionaire Gautam Adani, the group's founder, his nephew Sagar Adani and six others for their alleged roles in a $265-million scheme

India remains committed to reducing budget deficit over medium term: Fitch

India remains committed to reducing the budget deficit over the medium term, despite its focus on higher public capex and demands of the coalition government, Fitch Ratings said on Tuesday. In a report, it said India has achieved or outperformed its budget deficit targets in the last few years, thereby improving its fiscal credibility. Fitch said India using RBI dividend to lower its fiscal deficit target for the fiscal year ending March 2025, reinforces its view that the country prefers fiscal consolidation over additional spending. Still, India's deficit, and interest-to-revenue and debt ratios remain high compared with the 'BBB' category sovereign peers, Fitch said. "...we believe its (India) government remains committed to reducing the budget deficit over the medium term, even amid the demands that governing in the coalition will impose on the newly elected administration - and despite the government's sustained focus on supporting economic growth through higher public capex,"

Fitch changes global reinsurers' outlook to 'neutral' from improving

Reinsurers, which insure the insurers, have raised their rates in recent years in response to losses from the Covid-19 pandemic, wars and natural catastrophes

SEC's WhatsApp probe expands as Moody's, S&P, Fitch hit with $48 mn fine

The Securities and Exchange Commission said Tuesday that Moody's and S&P will each pay $20 million to settle the cases, while Fitch will pay $8 million

Moody's raises India's growth projection; Fitch affirms 'BBB-' rating

The government has set a lower fiscal deficit target of 4.9 per cent in the union budget presented on July 23 compared with 5.1 per cent set in the interim budget in February

Moody's raises India's growth forecasts, Fitch affirms 'BBB-' rating

Global rating agency Fitch on Thursday affirmed India's sovereign rating at 'BBB-' with a stable outlook. India's rating has remained unchanged at 'BBB-', the lowest investment grade, since August 2006. "Fitch Ratings has affirmed India's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BBB-' with a Stable Outlook," the global rating agency said in a statement. India's ratings are underpinned by its strong medium-term growth outlook, which will continue to drive improvement in structural aspects of its credit profile, including India's share of GDP in the global economy, as well as its solid external finance position, it said in a statement. Strengthening fiscal credibility from recent achievement of deficit targets, enhanced transparency and buoyant revenues, have increased the likelihood that government debt can follow a modest downward trend in the medium term, it said. Nevertheless, it said, fiscal metrics remain a credit weakness, with deficits, debt and debt servic

SC verdict to hit mining firms; Tata Steel, JSW Steel to see lower profits

Tata Steel, JSW Steel, and other companies may see higher costs and reduced profitability from new state-imposed mining taxes, leading to inflation, following a Supreme Court decision

Subdued discretionary spending to hit India's IT services growth: Report

The latest Fitch Ratings report says that the long-term growth of India's IT services sector will be supported by client spending on digital transformation, cloud migration, and AI

Fitch cuts Israel's rating to A+ as Gaza war seen lasting into 2025

The action reflects the impact of the continuation of the war in Gaza, heightened geopolitical risks and military operations on multiple fronts, analysts wrote

FY25 Budget confirms govt's commitment to reduce fiscal deficit: Fitch

Fitch Ratings on Friday said India's post-election budget confirms that the new administration remains committed to reducing the fiscal deficit for FY25 and FY26, despite demands of the coalition government. In the FY25 budget, the government has lowered the Centre's fiscal deficit target for the year ending March 2025 to 4.9 per cent of GDP, from 5.1 per cent in February's interim budget. The government's fiscal deficit target for FY25 is significantly below the 5.4 per cent that the ratings agency anticipated when it affirmed India's 'BBB-' rating, with a stable outlook, in January 2024. "India's post-election budget confirms that the new administration remains committed to reducing the fiscal deficit this and next year, despite the demands of the coalition government," Fitch Ratings said in a statement. The sustained focus on supporting economic growth through high public capex also points to continuity in key areas, it added. "We believe that it should be achievable as the ...