India Ratings and Research (Ind-Ra) has affirmed Axis Bank (ABL) long-term issuer rating at 'AAA' with a stable outlook and Short-Term Issuer Rating at 'A1+'. The agency has also affirmed ABL's Rs 37 billion lower tier 2 subordinated debt at 'AAA', Rs 3.075 billion upper Tier 2 subordinated debt at 'AA+' and its Rs 2.14 billion perpetual Tier 1 debt programme at 'AA+'.

The affirmation factors in ABL's diverse earnings profile and strong profitability, together with a high core capital buffer that is likely to be maintained. The bank's strategy of reducing concentration in its corporate loan business and focusing on capturing client cash flows may reduce cyclical asset quality pressures in the medium term.

Shares of the bank gained Rs 4.95, or 0.89%, to settle at Rs 558.35. The total volume of shares traded was 514,799 at the BSE (Tuesday).