KOCHI: Bank loan rating can impart financial discipline, Sankar Chakraborti, national head, business development, CRISIL Ratings, Mumbai, has said.
At a seminar on 'Basel11 Accord Bank Loan Ratings' organised by CRISIL Ratings in association with the State Forum of Bankers Clubs, Kerala, and Bankers Club, Greater Kochi, Chakraborti pointed out that rating is beneficial to banks as well as corporates.
CRISIL assigns bank loan ratings to various types of facilities provided by banks, such as working capital demand loans, cash credit, project loans, loans for general corporate purposes and nonfundbased facilities.
The Bank loan ratings indicate the degree of risk with regard to timely payment of interest and principal on the facility being rated. L R Ramachandra Warrier, president, State Forum of Bankers Clubs, Kerala, inaugurated the seminar. K U Balakrishnan, general secretary, State Forum of Bankers Clubs, A Surendran, president, Greater Kochi Bankers Club, K Surendran, secretary, Greater Kochi Bankers Club, Thomas Joseph, general manager, Federal Bank, Dr Kurian P Abraham, deputy general manager, Corporation Bank, and G Balaji, regional manager business development, CRISIL Ratings, spoke.