ICICI Bank ratings reaffirmed by ICRA and CARE Ratings

The ratings in numbers

ICRA reaffirmed most ratings and withdrew three series

ICRA reaffirmed its ratings on the issuer, the Basel III Tier II bonds, the Basel III Tier I bonds, the infrastructure bonds and the certificates of deposit. It also reaffirmed and withdrew ratings on three series: ₹945 crore of Basel III Tier II bonds, ₹6,500 crore of infrastructure bonds and ₹40.41 crore of long-term bonds. ICRA says these have been fully redeemed with no amount outstanding.

ICRA's Stable outlook, it says, factors in the expectation that the bank will keep a steady credit profile, with asset quality, profitability and capital cushions better than the negative triggers. ICRA lists a significant deterioration in asset quality, a sustained RoA below 1.0%, or a fall in CET I capital cushions below 4% on a continued basis as negative triggers. Positive factors are not applicable, it says, because the ratings are already at the highest possible level.

Capital, provisions and asset quality in the agencies' view

CARE puts the CET I ratio at 16.01% as on 30 Sep 2026, against 16.35% as of 31 Mar 2026, and a minimum of 9.70% including a 0.20% D-SIB surcharge. CARE gives the gross NPA ratio as 1.20% and the net NPA ratio as 0.30% as on 30 Sep 2026. CARE's negative factors include a net NPA ratio above 3% on a sustained basis.

ICRA says the transition to the expected credit loss framework, to be implemented from 1 Apr 2027, is expected to remain manageable given the bank's current capitalisation. Both agencies cite contingency provisions of ₹13,100 crore; CARE describes them as a prudent buffer that the management considers adequate. ICRA says the West Asia conflict adds uncertainty to the asset quality trajectory.

What the reaffirmations mean for ICICI Bank's shareholders

The filing reports rating actions only. It does not change the bank's capital, its share count or its results. The ratings are opinions of the agencies, and the press releases say they are not recommendations to buy, sell or hold any security.

The filing does not say why the ratings were reaffirmed beyond the agencies' own rationale, what the 4,110 crore of unplaced Basel III Tier II bonds will be issued for, or when. The fixed deposits CARE rated are listed as ongoing, with no amount given.

Reference: Original filing (PDF)