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Moody's became the first rating agency to retain the sovereign rating of Baa3 for the country after the rupee dived below 63 to the dollar, on Monday.
High interest costs and a weak rupee may raise overall debt, even as refinancing may not be an issue.
"It's a welcome development, but we also feel it was long overdue... It's a recognition of the actions that the government has undertaken like GST, bankruptcy. We also need to keep all these things in perspective," Chief Economic Adviser Arvind Subramanian said.
"Fitch Ratings has placed Punjab National Bank's (PNB) Viability Rating of 'bb' on Rating Watch Negative (RWN), following the large fraud reported by PNB," the US-based agency said in a statement.
Listing the series of reforms which led to the upgrade, he said while demonetisation took the economy towards greater formalisation and digitisation, use of Aadhaar ensured targeted delivery of government benefits.
Moody's has forecast that China would be the only G-20 country to post growth this year.
"The downgrade would mean they would have no buyers for their debt papers. It would also impact borrowing from overseas banks," said a Mumbai-based analyst.
Play at the Australian Open continued amid the lockdown, but fans were banned through Wednesday. Thousands were forced to leave mid-matches before midnight on Friday.
Moody's has revised to positive the outlook on the long- term ratings of private sector lenders
Reliance is in the market with a benchmark issue to sell 30-year US dollar-denominated Reg S fixed rate senior unsecured notes.
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'It may sound like sacrilege, but does it really matter if the global raters downgrade India for fiscal slippage?' asks Tamal Bandyopadhyay.
Moody's expects macroeconomic policies to contribute to sustained robust growth.
But says govt finances the weakest aspect of the country's macroeconomic profile.
The rating agency said that the 'Baa3' sovereign rating is supported by credit strengths which include a large, diverse economy, strong gross domestic product growth as well as savings, and investment rates.
Any downward revision from the current 'Baa3' rating means junk status for the country.
Moody's Investors Service on Tuesday slashed India's growth forecast for the current financial year to 9.3 per cent saying that the second wave of coronavirus infections hampers economic recovery and increases risk of longer-term scarring. Moody's, which has a 'Baa3' rating on India with a negative outlook, said obstacles to economic growth, high debt and weak financial system contrain sovereign credit profile. The US-based rating agency had in February forecast a 13.7 per cent economic growth for the current fiscal (April 2021-March 2022).
Business failures rise when growth declines. When Indian growth slowed in the last decade, defaults increased. This is the normal working of the market economy, points out Ajay Shah.
Global rating agency Moody's said the decision to change the outlook on 'Barclays's C-/ baa2 standalone rating to negative from stable' reflects concerns over resignations of seniors and the consequent uncertainty surrounding the firm's direction, which are negative for bondholders.
The rating agency was hopeful that RIL would sort out technical problems being faced at its flagship eastern offshore KG-D6 fields where output has almost halved in past two years.
India's economy is likely to grow at the slowest rate in a decade this year.
The same rating agency, however said India's GDP growth rate would go below 7 per cent in the current fiscal from 8.5 per cent a year ago.
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Poverty prevented Kami finishing his studies as a child. At 68, he goes to school six days a week to complete his studies and escape a lonely home life.
'We forecast real GDP growth to moderate to 6.7 per cent in the year ending March 2018.' 'However, as disruption fades, we expect to see a rebound in real GDP growth to 7.5 per cent in the next fiscal year.'
A Mirage 2000 fighter plane on Monday crashed in Rajasthan's Sawai Madhopur district and its two pilots ejected safely -- the second mishap involving the aircraft type in 11 days which prompted the IAF to stop flying the entire fleet and subject it to preliminary checks.
Shivrajkumar is nervous about his 100th film, Jogayya that releases tomorrow.
The outlook for India's rating would improve if fiscal, inflation and infrastructure metrics get better, a global report said.
Bad loans are turning nightmarish for Indian banks.
The government's second round of stimulus will spur consumer spending in the near term but support to economic growth will be minimal, Moody's Investors Service said.
India's fiscal deficit and inflation outlook could prevent any upgrades in the country's sovereign rating, even as the economy is headed for recovery
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Stating that a weak fiscal position continues to constrain India's sovereign ratings, Fitch said the next government's medium-term fiscal policy will be of particular importance from a rating perspective.
Despite the increased business risks, the rating agency affirmed Baa2 ratings, three notches down from the highest grade, with a stable outlook for RIL, Moody's Investor Service said in its weekly outlook.
'The history of Moody's India ratings tells its own story,' points out T N Ninan.
Bollywood superstar Shah Rukh Khan's claim that he signed printouts of 'nude' security scans of his body at the Heathrow airport in London have been dismissed by the airport owner British Airports Authority.
Fitch had last upgraded India's sovereign rating from BB+ to BBB- with a stable outlook on August 1, 2006.
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