Published On : Sat, Jan 28th, 2017

VIA holds talk on ‘Enhancing creditworthiness through credit rating’


Nagpur:
“Ability and willingness to pay and timely payment are the key aspects of credit rating. For enhancing credit worthiness, it is important to use cutting edge technology and think differently,” said D Ravishankar, founder director of Brickwork Rating (I) Pvt Ltd, Mumbai, while speaking on ‘Enhancing creditworthiness through credit rating’, organized by VIA Economy and Finance Forum, Ravishankar said, “Growth comes with risk. If a businessman finds that some risk factors are hampering growth, then s/he should find the reason and eliminate it to become successful.”

He said Credit rating plays an important role when people search for selecting a company for investment purposes. In this, domestic, national and international rating assume importance. Any AAA-rated company in India could be BBB-rated at the global level. Short and long-term rating, shadow and advantage ratings were also discussed for the growth of a company. He said that besides strengthening business model and outperforming peer groups, it is necessary that the level of management standards is raised by improving ERM quality and corporate governance. Good intentions matched with ability to manage multiple geographic areas, cultures, currencies and regulations ensure success of a business, he added.

Credit Rating is an assessment of the creditworthiness of a borrower in general terms or with respect to a particular debt or financial obligation. In order that Industry can understand the meaning, procedure, benefits, requirements of credit rating and how credit worthiness be enhanced with proper analysis and rating process, VIA has organized a talk by Shri D Ravishankar, an expert in the field. The requirement from Bankers coupled with IRR of specific industry necessarily needs to be borne in mind before finalization of loan. Credit Rating as a tool provides basis to both Bankers and Borrowers for reaching a consensus.

Another speaker, E Shankara Rao, Director & CEO of IIFCL Asset Management Company, New Delhi, spoke on ‘Opportunities in digital infrastructure program’. He said, “Infrastructure is the basic need of everybody and underlined the need for strengthening it for which the policy should be sound enough to sustain for long. He discussed the present status of infrastructure in India and said more opportunities will be created in telecom, electricity, ports and airports sectors.

More exports and less imports with domestic expansion compliments economic growth. Growth in Gross Domestic Product (GDP) and public and private sector participation with effective regulations will lead to economic development and social welfare, he added. He focused on Digital India/ Start Up India and Stand Up India are the current buzzword with many Entrepreneurial opportunities opening up in the Infrastructure Sector along with the Digital Infrastructure sector as well, a careful study of the various opportunities available is required.

Earlier, Rohit Agrawal, Chairman – VIA Economy & Finance Forum made the introductory remarks while Saket Bagdia, Convener – VIA Economy & Finance Forum conducted the program. OS Bagdia, Suhas Buddhe, Hon. Secretary – VIA and Naresh Jakhotia, Jt Secretary – VIA were present at the program.

Session was attended by members, industrialists, Professionals, CA, management students.