On recovery path

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Thesynergyonline Banking Bureau

NEW DELHI, MAY 12 : Following the bank's strong recovery and the Government of India's continued support Punjab National Bank (PNB) has been assigned Counterparty Risk Rating (CRR) from Moody's Investors Service.

PNB has managed to surpass the total amount recovered in the last financial year in the first two months of this fiscal. By the time this quarter (April-June) ends, PNB expects to complete recovery of Rs. 8000 crores.

The rating is an "opinion about the ability of entities to honour the uncollateralised portion of non-debt counterparty financial liabilities (CRR liabilities) and also reflects the expected financial losses in the event such liabilities are not honoured. CRR liabilities typically relate to transactions with unrelated parties. PNB statement

Also, the CR assessment of Punjab National Bank was upgraded to Baa3(cr)/P-3(cr), from Ba1(cr)/NP(cr)