Moody's upgrades India's outlook to stable, affirms rating
NEW DELHI: Ratings agency Moody's on Tuesday affirmed India's sovereign rating and upgraded the country's outlook to 'stable' from 'negative', citing receding downside risks to the economy and financial sy em.
The sovereign rating by Moody's stands at 'Baa3' -- which is the lowest investment grade, just a notch above junk status.
"Moody's Investors Service has today changed the outlook on the Go nment of India's ratings to stable from negative and affirmed the country's foreign-currency and local-currency long-term issuer ratings and the local-currency senior unsecured rating at Baa3," it said in a statement.
The decision to change the outlook to stable reflects Moody's view that the downside risks from negative feedback between the real economy and financial sy em are receding.
"With higher capital cushions and greater liquidity, banks and non-bank financial institutions pose much lesser risk to the sovereign than Moody's previously anticipated.
"And while risks stemming from a high de t burden and weak de t affordability remain, Moody's expects that the economic environment will allow for a gradual reduction of the general go nment fiscal deficit over the next few years, preventing further deterioration of the sovereign credit profile," it added.
Dr Vidyadhar Yellutla
Modi hai tho munkin hai. 'I appeal to all Indias well wishers, never ever think of the Italian rotten product called Congress, and reject Cheatambaram, Manmohan Singh squarely. In . 2013 - Brazil, India, Indonesia, South Africa, and Turkey were the first countries to be called the Fragile Five.
Under Modi and Gov this economy is poised for higher growth
Yeah that's why GDP was lowest in ten years before Corona in 2019, and after worst since 1947. Unemployment at highest level since 1947. Rupee depreciation of 25%, highest in any seven year period since 1947. 50 cr people below poverty line now from 22 cr in 2014. Wah Dankapatiji Wah!
Shashank Royal t
25% depreciation? Pulling numbers out of thin air
It seems previous reforms have started yielding benefits, Due to GST reforms, india has achieved more formal economy and result is increase of TAX collection, due to MAKE IN INDIA and reduced corporate tax, INDIA started to produce more, export more and import less. ease of doing business is also started to work. Hope for Super Economic Growth. Jai Hind.
In which world are you living bhakt petrol at 110 really great achievement
Do you even know the trade deficit now? It is highest since 1947. That means we are importing more and exports have not increased at the rate of imports.
Congratulations to Modi for taking Indias rating from Stable BBB to junk and now back to one step above junk.
India credit rating has seen BBB or Baa3 (one level above) well before Modi came. Only the outlook keeps changing. It is good to see that the effect of pandemic on the rating is now over. We should now hope for an upgrade in future.
it was BBB- earlier
Good to see the fragile economy of India is fast turning stronger post pandemic shock… A lot needs to be done by Modi govt
Why should Modiji do anything? Sole responsibility lies on Pappu and Nehru, and ofcourse Birbal too!
One step above junk rating?
The so called credit rating agencies are not trustworthy. These agencies are highly biased towards India. At one time they declare India as "Stable" and in the other communique they will downgrade.
Good to see improvement in ratings..Infact employment scenario is on the upswing..with China shutting down Chemical Industries the direct beneficiary is countries like India. Good work done by Modi Govt in terms of Infrastructure and general feel good factor. We will further improve our position provided tainted and corrupt Scamgress does not return.
Haha unemployment at highest since 1947. Yeah feel good factor for big corporates while 50 cr Indians below poverty line now from 22 cr in 2014.
In any case on GDP front M. Mohan Singh go nment has a better track record. Even Bajpai's Go nment performed better than the present re gie.
Godi and his blind bhakt brigade will cm India will be 5 trillion dollar economy next year! I really wish he doesn't increase the economic divide among people... He has already divided and polarized people on re gion... People here need to first understand and respect each other...
Need More Land
We are the most stable and reliable nation in the world. We offer the world’s most stable workforce and work fare programs. There is no other country that even comes close!
Can we see another bumper festival bull run in stock market??
Sure, when just 3% population invests in stock market and mutual funds, anything can happen.