FITCH Ratings has assigned a BBB- rating to the USD 500 million Euro Medium Term Note Programme established by the Bank of Maharashtra. The rating, effective September 4, 2026, reflects the bank’s Long-Term Issuer Default Rating (IDR) of ‘BBB-‘ and considers the potential for extraordinary state support. The rating is linked to India’s sovereign IDR, which is also BBB- with a Stable Outlook.
Fitch Assigns ‘BBB-‘ Rating to Bank of Maharashtra’s USD500 Million MTN Programme
FITCH Ratings has officially assigned a credit rating of BBB- to the USD 500 million Euro Medium Term Note (MTN) Programme of Bank of Maharashtra. This rating action was announced on September 7, 2026, and is in line with the bank’s Long-Term Issuer Default Rating (IDR). The rating applies to senior unsecured notes issued under the programme.
Rating Rationale and Outlook
The assignment of the ‘BBB-‘ rating is a direct reflection of Bank of Maharashtra’s existing Long-Term IDR of ‘BBB-‘. This IDR is, in turn, equalized with the Indian sovereign’s IDR of BBB-/Stable. Fitch’s assessment is underpinned by a high probability of extraordinary state support for the bank, driven by the government’s 73.6% ownership, the bank’s strong market share in deposits and loans within its home state, and a perceived strong propensity for the government to support the banking sector.
The Stable Outlook on the bank’s IDR mirrors the Stable Outlook on India’s sovereign rating. Fitch also assigned an ex-government support (xgs) long-term senior unsecured rating of BB(xgs) to the MTN programme, aligning with the bank’s Long-Term IDR (xgs) and its Viability Rating of ‘bb’.
Programme Details and Use of Proceeds
The Bank of Maharashtra plans to list the MTN programme on the India International Exchange and/or the NSE IX Exchange. The net proceeds from the issuance of notes under this programme will be utilized to meet the funding requirements of the bank’s head office in India, its foreign offices, or branches, and for general corporate purposes permissible under Indian law.
Fitch Ratings Contact Information
For further inquiries, Fitch Ratings has provided contact details for its analysts:
- Elaine Koh, Senior Director, Primary Rating Analyst. Contact: +65 6796 7239, [email protected]. Based in Fitch Ratings Singapore Pte Ltd.
- Prakash Pandey, Associate Director, Secondary Rating Analyst. Contact: +91 22 4000 1773, [email protected].
- Jonathan Cornish, Managing Director, Committee Chairperson. Contact: +852 2263 9901, [email protected].
Source: BSE
