Page 17 - Icra

Changes to hybrid annuity model will help protect returns, says Icra

Recent changes to Hybrid Annuity Model (HAM) for road sector projects will help in improved cash conversion cycle as well as protect the returns for developers, rating agency Icra said on Thursday.

States' capital expenditure cut to cause GDP fall, estimates ICRA

While ICRA estimates an 11 per cent contraction in the overall GDP in FY21, it expects the contraction to narrow to 5-7 per cent in the Q3 and 1-2 per cent in Q4

12 major states may have to cut capex by Rs 2.5-2.7 trillion in FY21: Icra

Icra projected the aggregate debt of these 12 states to deteriorate sharply to 28.9% of GSDP

State govt-funded infra capex expected to remain weak in near term: ICRA

As per ICRA estimates, major states together had a budgeted capital outlay of over Rs 5.7 trillion for FY2021 as against revised estimates (RE) of Rs 5.1 trillion in FY2020

Recovery in domestic air passenger traffic continues in October: Icra

Domestic air travel demand continued on an upward trajectory month-on-month, with the October volume witnessing a 33% growth to 5.2 million passengers over September, Icra said

Housing sales may fall by 35-40% in FY21 as demand improved: ICRA

ICRA said the uptick in absorption levels during the second quarter of FY2021 has been driven by affordable and mid/upper-mid segments.

Q2 home sales up 60% sequentially due to unlocking, pent-up demand: Icra

Buoyancy supported by demand from returning NRIs; digitisation plays key role in enabling sales

MFI credit costs to rise 6% in 2 yrs as customers delay repayments: ICRA

About 12% of customers had not repaid their dues till August end, says ratings agency.

Credit cost for MFIs to rise to 6-7% in two years as loans remain unpaid

About 12% of customers have not repaid till August end

Corporate bond issuances to rise marginally to Rs 8 trillion FY21: ICRA

Fresh corporate bond issuances will cross Rs 8 lakh crore in FY21 as against Rs 6.55 lakh crore last fiscal, a report said on Monday. With estimated redemption of Rs 4.95 lakh crore in FY21, the volume of corporate bonds outstanding will rise by over 9 per cent to Rs 35.5-35.8 lakh crore, domestic ratings agency Icra said. It can be noted that promoting the corporate bond market is one of the stated objectives of policymakers and they have been repeatedly stressing on the same, saying the reliance on the banking system needs to be reduced. The rating agency said corporate bond issuances remained strong in the September quarter at Rs 2.2 lakh crore as against Rs 2.3 lakh crore in the first quarter. "Given the regulatory stance of maintaining accommodative stance of monetary policy and surplus liquidity environment, the issuances could remain strong and spreads are likely to remain narrow over the next few quarters," its head for financial sector ratings Anil Guota said. It said the

Sustainability of domestic demand in 2-wheeler to remain contingent: ICRA

Ratings agency ICRA on Monday said it expects that the sustainability of domestic demand in two-wheeler would remain contingent upon the COVID-19 scenario following the festive season

ICRA revises FY21 securitisation estimate to Rs 80,000 cr from Rs 1.2 trn

Volumes of securitisation had stood at Rs 2 trillion in the year-ago period.

ICRA revises down FY21 securitisation volumes estimate to Rs 80,000 crore

Domestic rating agency ICRA on Thursday revised down its estimate on securitisation for 2020-21 to over Rs 80,000 crore from the earlier Rs 1.2 lakh crore, blaming the coronavirus pandemic for the slower pick-up. Volumes of securitisation had stood at Rs 2 lakh crore in the year-ago period. Activity in the July-September period picked up to over Rs 15,000 crore as against over Rs 7,000 crore in the first quarter of the fiscal, it was still lower than expected. For the first half of the current financial year, the overall volumes were over Rs 22,700 crore as against Rs 1 lakh crore in the year-ago period, the agency said. According to the rating agency, most non-bank lenders were expected to resort to securitisation to raise funds in the July-September quarter, as seen earlier in September 2018 when liquidity dried up post default by the IL&FS group. However, because of the host of measures taken by the government and Reserve Bank of India, the availability of on-balance sheet ...

2-wheeler volumes to contract 16-18% this fiscal due to Covid-19: ICRA

While the overall consumption and investment demand is expected to remain subdued for an extended period, some growth off-shoots are visible in rural markets, it added

Recovery on Indian economy 'strengthened, broadened' in September: ICRA

However, the agency cautioned that the sustainability of the upturn is unlikely to be universal, and that while fatigue may drive festive season sales, the momentum may subsequently subside

InvITs to acquire over Rs 4 trillion of infra assets in five years: Icra

At present, there are six InvITs which have raised over Rs 27,600 crore from investors, while a seventh entity is in advanced stage of raising Rs 25,200 crore, Icra said

Passenger vehicle industry's FY21 volumes expected to see 22-25% dip: ICRA

Passenger vehicle industry's FY21 volumes are expected to witness a 22-25% decline, ratings agency ICRA said on Wednesday

Icra sees overall automotive volumes in FY21 being pushed back by 10 years

Rating agency expects GDP to decline by 11% in FY21; this will trickle down into lower demand for the automotive industry in general

Ship charter rates to be exposed to volatility in near-term: Icra

Ship charter rates are likely to be exposed to volatility in the near-term, despite some segments seeing a recovery in pricing, as the demand outlook remains muted, rating agency Icra said

Telcos expected to speed-dial ARPU improvement, raise tariffs, says Icra

The telecom tariff hike is imminent as service providers need to make sizeable payouts on statutory dues, spectrum buys, regular revenue share obligations and auction instalments Icra Ratings said