The South Indian Bank Limited — Credit Ratings, 31-07-2025: Credit Rating- Revision

South Indian Bank's Basel III Tier 2 debt rating has been upgraded by CARE Ratings to CARE AA-/Stable from CARE A+/Stable. This positive revision is driven by the bank's improved financial risk profile and business performance over the past three years, marked by better asset quality and profitability. For FY25, Return on Total Assets (ROTA) increased to 1.08%, and Net NPA to Net Worth significantly improved to 8.10%. The bank also maintains comfortable capitalisation. This upgrade is likely to reduce the bank's cost of borrowing, enhance investor confidence, and provide greater strategic room for operations.