Canara Bank Gets ICRA AA+ for Tier I, AAA for Tier II Bonds

Mumbai: Canara Bank has informed the stock exchanges about the latest credit ratings assigned by ICRA on 8 September 2026.

Rating Actions by ICRA

Basel III Tier I Bonds

• Existing ₹11,000 crore: [ICRA]AA+ (Stable) – Reaffirmed

• New ₹4,500 crore: [ICRA]AA+ (Stable) – Assigned

Basel III Tier II Bonds

• ₹8,500 crore: [ICRA]AAA (Stable) – Reaffirmed

• Earlier ₹3,000 crore: [ICRA]AAA (Stable) – Reaffirmed and withdrawn (fully redeemed)

Certificates of Deposit

• ₹20,000 crore: [ICRA]A1+ – Reaffirmed

Key Rating Drivers

ICRA continues to factor in Canara Bank’s sovereign ownership (Government of India stake at 62.93% as on 30 June 2026) and its strong franchise.

The bank is the fourth-largest public sector bank and sixth-largest bank in India by total business.

Ratings are supported by a robust deposit franchise, healthy liquidity, strong capitalisation and improving profitability.

Financial Snapshot (as on 30 June 2026)

• CET I ratio: 12.91%

• Tier I capital: 15.00%

• CRAR: 17.17%

• Gross NPA: 1.57%

• Net NPA: 0.36%

• Return on Assets (Q1 FY2027): 1.02%

The Stable outlook reflects ICRA’s expectation that the bank will maintain stable asset quality, healthy profitability and adequate capital cushions.

The detailed rating rationale has been submitted to BSE and NSE under Regulation 30 of the SEBI Listing Regulations.