ICICI Bank Ltd. (ICICI Bank) reported positive growth in 2Q 10 bottom-line supported by significant costs improvements. Furthermore, although provisions increased y-o-y, they have declined q-o-q reflecting improved asset quality. Going forward, we maintain a cautious outlook given optimism regarding cost controls and improving economic conditions offset by risk concerns regarding tightening monetary policy. Therefore considering these factors, we maintain our 6-12 month HOLD rating. We will reassess our common stock rating in our next full update report. We continue to anticipate a positive currency impact on the ADR over the coming 6-12 months. Therefore, considering our fundamental outlook, we maintain our current BUY rating for the ADR. We will reassess our ADR rating (1 ADR = 2 common shares) in our next full update report.

From September 2009, the Research Oracle will begin to accept research submissions from readers – whether amateur or professional analysts – from around the globe. To receive notification of the launch and rules, contributors may register now at
http://www.iirgroup.com/researchoracle/researchoracleaward