Mumbai, Aug 8: Credit Rating Information Services of India Limited (Crisil) has assigned an ``A (SO)'' rating to the proposed Rs 3,500 crore programme of Andhra Pradesh Power Finance Corporation (APPFC). Crisil's new rating is based on an unconditional and irrevocable guarantee proposed to be provided by the Goverement of Andhra pradesh (GoAP) and is supported by a structured payment mechanism to facilitate timely payment of debt obligations.In the absence of an established track record of operations of APPFC, the rating is based on the willingness and ability of Andhra Pradesh government to provide budgetary support to APPFC.
Therefore, the rating reflect the ability of the GoAP to service the debt obligations on the rated bonds, according to a Crisil release here on Tuesday.
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