ICRA signs MoU for rating MSME clients of SBH and PNB

Credit rating agency ICRA have signed two different Memorandum of Understanding (MoU). with State Bank of Hyderabad (SBH) and Punjab National Bank (PNB) Under this MOU ICRA will assign ratings to the Bank`s MSME clients under a separate SME Rating Scale. The ICRA SME Rating is so designed as to cover all MSMEs, including those that are eligible for the ICRA-NSIC Performance and Credit Rating Scheme. An MSME Rating assigned by ICRA to an MSME would act as a symbolic indicator of ICRA`s current opinion on the relative capability of the MSME concerned to timely service its debts and obligations. To assist potential and existing borrowers of SBH and PNB in obtaining ratings, ICRA is offering special terms to the clients of SBH and PNB. This MoU between SBH and ICRA and PNB and ICRA is in addition to the already existing MoU for rating the banks fund-based and non fund based exposure under the standardized approach of RBI`s New Capital Adequacy Framework for Basel-II.