Credit rating agency ICRA Limited (ICRA) and Vijaya Bank, a premier nationalized bank headquartered in Bangalore, have signed a Memorandum of Understanding (MoU) under which ICRA will assign ratings to Small Scale Industries (SSIs) and Small and Medium Enterprises (SMEs) that are borrowers of the above bank.
The SSI ratings will be carried out under the National Small Industries Vijaya-ICRA (NSIC-ICRA) Performance and Credit Rating Scheme for SSIs. The SME ratings on the other hand will be assigned under the ICRA-SME Rating Scale. To assist potential and existing SSI and SME borrowers of Vijaya.
When Vijaya Bank obtains ratings, ICRA is offering special terms to borrowers covered by the MoU. The MoU between ICRA and Vijaya Bank seeks to deliver a number of benefits to the bank as well its borrowers. For Vijaya Bank, ICRA ratings would serve as an objective and scientific input in decision making, assist in risk pricing; serve as an input for setting collateral requirements for borrowers and facilitate future CBO/CLO deals. Vijaya Bank’s borrowers would be able to obtain ICRA ratings at a relatively low cost. An ICRA rating may also place the rated entity in a superior position in terms of faster loan processing and to obtain competitive credit terms from Vijaya Bank. Source: ICRA Press Release For further details please contact: Mr. Jayanta Chatterjee, (Tel. No. 098 450 22459)