Mumbai, July 10 -- S&P assigned the bank a long-term issuer credit rating of BBB- with a stable outlook and a short-term issuer credit rating of A-3. This marks the first time the global rating agency has assigned an international issuer credit rating to Federal Bank.

The BBB- long-term rating places the bank in the global investment-grade category and reflects S&P's assessment of Federal Bank's credit profile. According to the rating agency, the rating is supported by the bank's strong franchise, disciplined risk management, sound capitalisation, diversified funding profile, healthy liquidity position and consistent financial performance.

The bank said the investment-grade rating marks an important milestone in its growth journey and i...