ICRA has reaffirmed the rating of [ICRA]AA- to Central Bank of India's (CBI) Rs 18.59 billion lower tier-II bonds programme and the rating of [ICRA]A+ to Rs 22.85 billion upper tier II programme. The outlook on the ratings has been downgraded to 'negative' from 'stable'.

The rating agency said, ''The revision in outlook is on account of higher than anticipated stress, slower than expected pace of recovery and weak outlook for several credit intensive sectors which led to sharp deterioration in asset quality indicators of the bank and has impacted the earnings profile of the bank.''

Further the rating agency said, ''Earnings profile of the bank over the medium term is likely to remain weak given the relatively high share of stressed assets and un-provided NPAs.

''Limited visibility on capital availability to fully support credit growth while meeting the regulatory minimum requirement also constrains the rating,'' it added.

Shares of the bank gained Rs 0.15, or 0.29%, to trade at Rs 52.30. The total volume of shares traded was 75,975 at the BSE.