Moody's Investors Service Wednesday affirmed Ba1 rating to Yes Bank but changed the outlook to stable from negative.

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The rating action takes into account recent developments including the results of the Reserve Bank of India's (RBI) risk assessment report (the so-called divergence report); and stable financial performance, Moody's said in a statement. 

As a result, Moody's has assessed that the downside risks to the bank's credit profile have diminished and changed the bank's ratings outlook to stable from negative, because such risks form the key driver for the change in the outlook.

On February 13, 2019, Yes Bank announced that the RBI observed no divergence in the bank's asset classification and provisioning, it said. 

Last week, RBI warned Yes Bank of regulatory action for disclosure of nil divergence report in violation of norms.