India's rating News

Arun Jaitley said that Moody's upgrading India's rating firms India's determination to follow the reform process that the government is working on.

Slamming global credit rating agencies for not upgrading India despite clear improvement in its economic fundamentals, Chief Economic Adviser Arvind Subramanian on Thursday said they are following "inconsistent" standards while rating India and China.

Moody's Investors Service Wednesday affirmed India's sovereign rating at 'Baa3' with a positive outlook, saying it expects policymakers to continue reforms to achieve balanced growth and reduce the government's debt load.

Like S&P, Fitch Ratings also rates India at 'BBB-minus', the lowest investment-grade, with a 'stable' outlook. Moody's Investors Service rates India at an equivalent 'Baa3', but with a "positive" outlook.

India will continue to post good growth despite subdued prospect for the Asia Pacific region amid expected rise in US rates, dollar strength, and lower commodity prices, Fitch said while retaining India's rating.

Fitch Ratings on Wednesday said its lowest investment grade rating of 'BBB-' for India balances the country's improved prospects for growth, inflation and the external balances, with limited progress on the fiscal front.

Expressing concern over slowdown in the pace of reforms, Standard & Poor's has said India's rating could come under stress if government fails to pursue reforms agenda and overshoots fiscal deficit target.

'BBB' is the lowest investment grade rating and stable outlook reduces risk of possible sovereign rating downgrade.

Earlier this month, Moody's had upgraded India's outlook to positive from stable, but retained the credit rating at the existing level at 'Baa3', just a notch above the junk grade.

In a big vote of confidence in the Modi government, rating agency Moody's Thursday raised India's credit outlook to 'positive', while Fitch projected faster growth -- raising hopes for an upgrade in its sovereign rating in the next 12-18 months.