Fitch and S&P issue credit ratings for financial institutions in Sri Lanka and India

Fitch Ratings has issued a final National Long-Term Rating of ‘BBB+(lka)’ for the proposed issuance of subordinated listed debentures by People’s Leasing & Finance PLC in Sri Lanka. The issuance, valued at up to LKR 10 billion, is intended to bolster the company’s Tier 2 capital and ensure compliance with capital adequacy requirements. The debentures are expected to mature in five years and will be listed on the Colombo Stock Exchange.

Separately, S&P Global Ratings has assigned a ‘BBB’ long-term rating to the Bank of India (BoI). The agency cited sufficient capitalization, solid funding, and healthy liquidity as key drivers for the rating. S&P noted that the rating reflects the likelihood of extraordinary support from the Indian government due to its majority ownership. While the bank maintains strong links to the government and high customer confidence, S&P observed that profitability and asset quality currently lag behind industry averages.