Credit Rating- New

कें द्रीय कायाालय INVESTORS RELATION DIVISION Central Office CO:IRD:2026-27:76 Date: 18.06.2026 National Stock Exchange of India Limited, BSE Limited, Exchange Plaza, Corporate Relationship Department, Plot No. C-1, ‘G’ Block, Phiroze Jeejeebhoy Towers, Bandra Kurla Complex, Dalal Street, Fort, Bandra (E), Mumbai - 400051 Mumbai - 400001 Scrip Code – CENTRALBK Scrip Code – 532885 Dear Sir/Madam, Sub: Credit Rating. Pursuant to Regulation 30 of the Securities & Exchange Board of India (Listing Obligations and Disclosure Requirement) Regulations, 2015, this is to inform that CARE Ratings Ltd has reaffirmed its rating for Certificate of Deposits as under :- Details of Credit Rating Current Rating Details Sr. Particular Name Credit Outlook Rating Specify Date of Verificat Date of No. of Rating (stable/ action other Credit ion verification Credit assigne positive/ (New/Upg rating rating status of Rating d negative raded/dow action Credit Agency /no ngraded/ Rating outlook Reaffirm/o agency ther) 1 Certificate CARE A1+ NA Reaffirmed NA 18.06.2026 Verified 18.06.2026 of Deposits Ratings Rs. 20000 Ltd crore (Enhanced from ₹10,000 crore) We enclose a copy of Rating rationale dated 18.06.2026 issued by CARE Ratings Ltd. Please take the above on record. Thanking You. Yours faithfully, For CENTRAL BANK OF INDIA CHANDRAKANT BHAGWAT Company Secretary & Compliance Officer Encl.: As above Central Office: Chander Mukhi, Nariman Point, Mumbai - 400 021 ईमेल/Email ID: smird@centralbank.bank.in www.centralbank.bank.in Press Release Central Bank of India June 18, 2026 Facilities/Instruments Amount (₹ crore) Rating1 Rating Action 20,000.00 Certificate of deposit CARE A1+ Reaffirmed (Enhanced from 10,000.00) Details of instruments/facilities in Annexure-1. The list of facilities / instruments falling under the purview of various financial sector regulators (FSRs), along with the names of respective FSRs has been disclosed under Annexure-6. Rationale and key rating drivers Reaffirmation of the rating of the certificate of deposit (CD) programme of Central Bank of India (CBI) factors in improvement in capitalisation levels from equity infusion by the Government of India (GoI) in the past, strengthened internal accruals and equity capital raised in the recent years. The rating continues to factor in majority ownership of and demonstrated support from the GoI in terms of funding, management and governance. The rating also factors in long track record of operations with established pan- India business franchise, diversified advances book with focus on non-corporate advances and deposit base with sizeable current account and savings account (CASA) proportion. GoI has infused total equity capital of ₹21,835 crore in FY16 to FY23 into the bank. CARE Ratings Limited (CareEdge Ratings) expects continuation of strong funding support by the GoI on need basis. The bank last raised equity capital of ₹1,500 crore in FY25 through a qualified institutional placement (QIP) of equity shares helping the bank to maintain adequate capitalisation levels to fund credit growth. In May 2026, GoI came out with an offer for sale (OFS), to enable CBI to comply with the minimum public shareholding norms of Securities and Exchange Board of India (SEBI), post which GoI’s shareholding reduced to 81.19% from 89.27% as on March 31, 2026. However, the rating factors in the bank’s moderate-yet-improving, asset quality and profitability. CareEdge Ratings expects the bank to maintain net interest margin (NIM) supported by its ability to maintain CASA mix amid challenging deposit mobilisation conditions across banking sector. The bank’s ability to manage slippages amid the current macroeconomic environment will remain a key monitorable. Rating sensitivities: Factors likely to lead to rating actions: Positive factors: Factors that could individually or collectively lead to positive rating action/upgrade: • Not applicable Negative factors: Factors that could individually or collectively lead to negative rating action/downgrade: • Reduction in government support and ownership below 51%. • Deterioration in asset quality, with gross non-performing assets (GNPA) of 5% or more on a sustained basis. • Deterioration in capitalisation levels with cushion above the minimum regulatory requirement remaining lower than 100 bps on a sustained basis. Analytical approach: Standalone The rating is based on standalone financial profile of CBI and factors in strong and continued support from the GoI, which holds majority shareholding in the bank. Outlook: Not applicable Detailed description of key rating drivers: 1Complete definition of ratings assigned are available at www.careratings.com and other CARE Ratings Limited’s publications. 1 CARE Ratings Ltd. Press Release Key strengths Majority ownership and support by GoI GoI continues to be the majority shareholder in CBI. Although, it offloaded 8.08% of stake in the bank through OFS reducing the shareholding to 81.19% as on May 26, 2026, GoI continues to remain the majority shareholder in the bank. GoI has been supporting public sector banks with regular capital infusions and has undertaken steps to improve capitalisation, operational efficiency and asset quality considering the critical role and importance of public sector banks in the overall economy. CBI cumulatively received equity capital of ₹21,835 crore from the GoI in FY16-FY23. CareEdge Ratings expects GoI to continue to support public sector banks including CBI, considering majority ownership and their importance to the financial sector. Comfortable capitalisation levels Aided by regular equity infusion by the GoI, improvement in asset quality and profitability in recent years leading to accretion to net worth, the capitalisation profile of CBI improved over the years. The bank also raised ₹1,500 crore equity capital through QIP in March 2025. The bank’s capital adequacy levels remained comfortably above regulatory requirement as the bank reported total capital adequacy ratio (CAR) of 17.91% (CET-1 and Tier-I: 15.61%) as on March 31, 2026 (March 31, 2025: CAR: 17.02% and CET-I ratio/Tier-I CAR: 14.73%), against regulatory requirement of CAR of at least 11.5%. Capitalisation ratios were in line with those for public sector banks (PSB). The bank has indicated that based on its preliminary calculations, transition to ECL Norms from April 01, 2027, will have an impact of ~₹4,000 crore, while it holds provision of ₹1,525 crore which would have an impact of ~110 bps on capital adequacy ratio. Board approval is in place for raising capital aggregating to ₹7,000 crore in FY27 subject to necessary regulatory approvals. However, capital adequacy ratios remain relatively moderate compared to larger peers. Given majority ownership by GoI, CBI is expected to receive timely and adequate support in the form of capital. CareEdge Ratings expects the bank to maintain capital cushion of at least 100 bps above minimum regulatory requirement in the near term. Diversified advances profile with high share of retail advances The bank has seen significant growth in advances in the last five years and its net advances grew at ~19% in FY26 compared to industry growth of ~16%. The bank’s gross advances stood at ₹3,44,516 crore as on March 31, 2026, against ₹2,90,101 crore as on March 31, 2025, registering growth of ~19%. The bank continued focusing on the segments of retail, agriculture and MSME (RAM), which constituted major portion of advances. The share of RAM advances to total advances increased marginally from 66.90% on March 31, 2025, to 68.09% on March 31, 2026. Within RAM advances, major segment was retail, constituting ~30% of total advances led by home loans (constituting 57% of retail loans). Agriculture loan portfolio and MSME loans constituted ~18% and ~20% of total advances, respectively, as on March 31, 2026. Established franchise with strong deposit base and comfortable CASA proportion The bank has a track record of over a centur [Showing first 8,000 characters — download PDF for full document]