Global rating agencies Fitch and Moody’s on Tuesday said banks’ exposure to Adani Group is not large enough to affect their credit quality, and bank ratings are driven by expectations that they would receive ‘extraordinary’ sovereign support, if needed.
“Fitch Ratings believes that Indian banks’ exposure to the Adani group is insufficient in itself to present a substantial risk to the banks’ standalone credit profiles,” the rating agency said in a note.
“Risks for banks can increase if Adani becomes more reliant on bank loans,” Moody’s said.
