New Delhi, Nov 17: Credit agency, Moody’s has rewarded the Modi government’s economic reforms push by raising India’s sovereign bond rating. The firm upgraded country’s rating from Baa2 from Baa3. The agency also said that Modi’s reforms will help stablise debt.
“Moody’s Investors Service (“Moody’s”) has today upgraded the Government of India’s local and foreign currency issuer ratings to Baa2 from Baa3 and changed the outlook on the rating to stable from positive. Moody’s has also upgraded India’s local currency senior unsecured rating to Baa2 from Baa3 and its short-term local currency rating to P-2 from P-3,” it said.
“The decision to upgrade the ratings is underpinned by Moody’s expectation that continued progress on economic and institutional reforms will, over time, enhance India’s high growth potential and its large and stable financing base for government debt, and will likely contribute to a gradual decline in the general government debt burden over the medium term,” it lauded the government.
