India raises questions on rating parameters in discussions with Moody’s

Moody’s admits that India is on the path of strength

After the meeting, an official said that Moody’s has acknowledged the positivity of the Indian economy. We are expecting a rating upgrade from Moody’s. Moody’s Investors Service has a ‘BAA3’ sovereign credit rating on India with a stable outlook. ‘BAA3’ is the lowest investment grade rating. According to sources, the details of India’s economic reforms have been given in the meeting. Apart from this, the government’s emphasis on infrastructure development and India’s availability of foreign exchange reserves of around US $ 600 billion were mentioned.

Officials of all the ministries related to the economy and NITI Aayog participated in the meeting. Moody’s representatives discussed the government’s disinvestment roadmap. India insisted that disinvestment should be viewed through the lens of reform. Significantly, all three global rating agencies – Fitch, S&P and Moody’s have given the lowest investment grade rating with a stable outlook.