Fitch affirms Dena Bank

Fitch Ratings said it affirmed Dena Bank's ratings at national long-term AA-(ind) with a stable outlook and national short-term F1+(ind).

Fitch also affirmed Dena's Rs. 20 billion of certificates of deposit affirmed at F1+(ind), Rs. 4.5 billion of subordinated lower tier two bonds at AA-(ind), Rs. 4.25 billion of subordinated upper tier two bonds at A-(ind) and Rs. 1.6 billion of perpetual tier one bonds affirmed at A-(ind).

The national long-term rating reflects the expectation of moderate support from the government of India, its majority stakeholder,t he agency said.

The ratings consider the bank's strengthened capitalization, its strong funding profile and improving profitability as well as Dena's weak but improving asset quality, its evolving risk management practices, its small size relative to other public sector banks and its concentration in the states of Gujarat and Maharashtra, the agency added.

Fitch affirms Kazakhstan Temir Zholy

Fitch Ratings said it affirmed Kazakhstan Temir Zholy's long-term issuer default rating and senior unsecured rating at BBB-.

The outlook is stable.

The ratings reflect its 100% indirect state ownership and strategic importance to the Kazakh economy, as demonstrated by the fact that it provides 59% of freight and 46% of passenger transportation in the country, Fitch said.

Its credit profile is supported by the expectation that the company will remain the monopoly provider of rail infrastructure in Kazakhstan, the agency said, and maintain a dominant market share in the provision of freight transportation services upon completion of the rail reforms.

But, the loss-making passenger transportation activity currently remains a concern, Fitch said.

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