Mumbai, March 4 -- Infomerics Ratings stated that the rating continues to derive strength from sovereign ownership with continued support, adequate capitalisation, diversified loan book and improvement in earnings profile over the years.

However, the ratings are constrained by moderate asset quality albeit improving, moderate resource profile, relatively moderate size & geographically concentrated operations.

The credit rating agency expects outlook to remain stable on the expectations of continued support from the Government of India (GoI), growth in advances, healthy resource profile, comfortable capitalization levels and improvement in asset quality.

The agency further said that a substantial growth in advances and deposits, profita...