Ind Ra revises Jammu -; Kashmir Bank's outlook to Stable, affirms rating at 'A+'

7 Feb 2022 , 11:57 AM

Jammu and Kashmir Bank Ltd has informed that India Ratings and Research has reviewed the credit ratings assigned to the Bank’s Basel III compliant Tier II bonds programme of Rs2000cr (raised Rs1000cr) and assigned the rating of IND A+ with outlook revised to Stable from Negative.

Further, Ind-Ra has considered JK Bank’s wholly-owned subsidiary, JKB Financial Services Ltd., in its analysis to arrive at the ratings.

The Outlook revision reflects the equity infusion by UTJKL in JK Bank in September 2021, Ind-Ra’s expectation of manageable asset quality/credit cost issues through Covid-19 aftermath, lower provision on legacy gross non-performing assets (GNPAs), and improving systems and processes, said the rating agency in its rationale.

At around 11:56 AM, Jammu and Kashmir Bank was trading at Rs41.35 apiece up by Rs0.6 or 1.47% on Sensex.