Hospitality and tourism saw the maximum COVID-related downgrades, said Smita Rajpurkar, Associate Director of CARE Ratings, on Tuesday.

Speaking in an interview to CNBC-TV18, she said, “More downgrades have happened in this fiscal predominantly because of the COVID related stress that has come up in many of the sectors which has kept the downgrades on higher side. So the modified credit ratio of CARE for four quarter rolling period ending Q3FY21 has been 0.96.”

CARE Ratings has done some analysis of the credit quality assessment. According to them, credit quality has moderated to an over 6 year low in FY21. So 75 percent of entities saw their credit ratings being reaffirmed in Q3 of FY21.

On improvement front, Rajpurkar said, “There have been upgrades in the essential sectors like agriculture, pharmaceutical, IT sector.”

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(Edited by : Bivekananda Biswas)