Strong business position supported by strong domestic franchise, good diversification in India, and strong management and strategy Above-average funding and strong liquidity Adequate capitalization and earnings Rapid loan growth in India where the economic risk score is 5 Continued pressures on net interest margin from market competition and deregulation Standard&Poor's Ratings Services bases its issuer credit rating (ICR) on HDFC Bank Ltd. on the bank's "strong" business position, "adequate" capital and earnings, "adequate" risk position, and "above-average" funding and "strong" liquidity, as our criteria define those terms. At the same time, the constraint on HDFC Bank rating imposed by the sovereign foreign currency rating is also taken into consideration. The stand-alone credit profile (SACP) on HDFC Bank is
