Strong business position supported by a solid domestic franchise and strong management and strategy. Strong liquidity and above-average funding. Adequate capitalization and earnings. Above-average loan growth amid challenging operating conditions. The stable outlook on HDFC Bank Ltd. reflects our view that the bank will maintain its strong credit profile over the next 24 months. We expect the rating on HDFC Bank to move in tandem with the sovereign credit rating on India (BBB-/Stable/A-3). S&P Global Ratings does not rate Indian banks above the sovereign rating because of the direct and indirect influence the sovereign in distress would have on a bank's operations, including its ability to service foreign currency obligations. We currently do not see any downside risk for the
