ICRA Nepal Downgrades Ratings of Prabhu Bank, Shine Resunga and Lumbini Bikas Bank

ICRA Nepal Limited has downgraded the issuer rating and subordinated debenture rating of Prabhu Bank Limited, while continuing its “watch with negative implications” status. The issuer rating was lowered to BB+ from BBB-, and the debenture rating of NPR 1,000 million was reduced to LBB+ from LBBB-. The downgrade indicates a moderate risk of default in meeting financial obligations on time. The ratings reflect only creditworthiness and are not recommendations to buy or sell securities.

Similarly, ICRA Nepal Limited has downgraded the issuer rating of Shine Resunga Development Bank Limited from BB+ (previously under “watch with negative implication”) to BB and removed it from the watchlist. The downgrade indicates a moderate risk of default in meeting financial obligations on time. The rating reflects only the overall creditworthiness of the institution, not any specific financial instrument.

Also, ICRA Nepal Limited has downgraded the issuer rating of Lumbini Bikas Bank Limited from BB (under watch with negative implications) to BB-, and simultaneously removed it from the watchlist. The downgrade reflects a moderate risk of default in meeting financial obligations on time. The rating represents only the institution’s overall creditworthiness and is not linked to any specific financial instrument.