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Pressure on foreign banks to cut India exposure grows after Moody's downgrade

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MUMBAI : A clutch of foreign lenders with large exposures to Indian corporates may be forced to sell loans held by them with the latest revision of India’s sovereign ratings by Moody’s, downgraded to the lowest investment grade category on Monday.

According to multiple people aware of the ongoing negotiations, foreign banks already aware of the impending risks have begun negotiations to sell loans held by them, including those given to some of the best rated corporates in India. “Most foreign banks follow the sovereign ceiling policy practiced by all major rating agencies which means that if there is a downward revision of sovereign rating, the credit rating of corporate debt issuers of that country will fall in tandem irrespective of the

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COVID-19
United States
United States
Cases: 46 252 513
Deaths: 750 423
Recovered: 0
India
India
Cases: 34 321 025
Deaths: 459 652
Recovered: 0
Brazil
Brazil
Cases: 21 835 785
Deaths: 608 235
Recovered: 0
United Kingdom
United Kingdom
Cases: 9 215 683
Deaths: 141 607
Recovered: 0
Russia
Russia
Cases: 8 494 589
Deaths: 237 619
Recovered: 0
Detail statistic
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