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Commerce Minister Piyush Goyal calls S&P Global’s upgrade as a testament to India’s economic resilience and the government’s commitment to improving the lives of all citizens.
Commerce Minister Piyush Goyal. (File photo)
Commerce Minister Piyush Goyal on Thursday welcomed S&P Global’s decision to upgrade India’s sovereign credit rating from ‘BBB-‘ to ‘BBB’ with a ‘stable’ outlook, calling it a testament to the country’s economic resilience and the government’s commitment to improving the lives of all citizens.
“Credit ratings agency S&P Global’s upgrade of India’s long-term sovereign credit rating from ‘BBB-‘ to ‘BBB’ and its short-term rating to ‘A-2’ from ‘A-3’ with a stable outlook is a welcome decision,” Goyal said in a post on X.
He added that this rating upgrade, which has come after an 18-year gap, has reaffirmed that under Prime Minister Narendra Modi’s decisive leadership:
- India is prioritising fiscal consolidation
- Maintaining a strong infrastructure creation drive
- And advancing an inclusive growth approach
“This is also a testament that at the heart of our journey towards Viksit Bharat lies our economic resilience and our government’s unwavering commitment to ensure a better life for every Indian,” Goyal stated.
S&P Global’s upgrade, announced on 14 August, comes a day ahead of India’s 79th Independence Day. The transfer and convertibility assessment has also been raised to ‘A-’ from ‘BBB+’.
“India is prioritising fiscal consolidation, demonstrating the government’s political commitment to deliver sustainable public finances, while maintaining its strong infrastructure drive,” S&P said in a statement.
The agency said the stable outlook reflects its view that “continued policy stability and high infrastructure investment will support India’s long-term growth prospects. That, along with cautious fiscal and monetary policy that moderates the government’s elevated debt and interest burden will underpin the rating over the next 24 months.”
In May 2024, S&P had shifted its outlook on the Indian economy to positive from stable, noting it could raise the rating if the fiscal deficit narrowed enough for the net change in general government debt to fall below 7% of GDP on a structural basis.
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More
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