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S&P Global Ratings assigned BBB- and A-3 credit ratings with a stable outlook to IDFC First Bank
13-Aug-26 19:31Hrs IST

IDFC First Bank Ltd announced that S&P Global Ratings has assigned an issuer credit rating of BBB- and A-3 for the long-term and short-term, respectively, along with a stable outlook, and S&P also assigned a BBB-/A-3 rating with a stable outlook; S&P Global also maintains a strong capitalization assessment and forecasts the bank’s risk-adjusted capital (RAC) ratio to remain at 10.0%-10.5%, with expected equity to reach INR 75 billion by fiscal 2027, and anticipates a net interest margin improvement of 5 bps-10 bps, alongside expectations for a cost-to-income ratio declining to 65%-70% over the next two years, a nonperforming loans ratio range bound at 1.7%-1.8% of total loans, credit costs between 1.5%-1.6% of total loans (1.6% projected for Q1 2027), core earnings to average adjusted assets of 1.0%-1.2% (1.1% annualized for Q1 FY27), and a return on average assets of 0.7% (average over FY22-FY26).

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