RINL seeks credit rating upgrade after paring debt

Delhi: State-owned steelmaker Rashtriya Ispat Nigam Ltd (RINL) is in discussions with ratings agencies to upgrade its credit rating from BB to BBB+ after paring its debt significantly and improving financial standing, a steel ministry official told ET.

A rating upgrade will help the firm raise debt at lower cost, and reduce interest outgo.

"RINL is aiming to get loans at a rate much below 8.95%, which will ease pressure on its cash flow," the official said.


The company has cut its banking debt to around ₹13,000 crore as of March 2025 from around ₹19,000 crore a year earlier.

"A lower cost of capital increases the return on investment (ROI) on projects, thereby contributing to increased shareholder value, which in the case of RINL would be the Government of India," said Vivek Iyer, partner and financial services risk leader at Grant Thornton Bharat.