New Delhi: Fitch Ratings on Friday said it has revised the outlook on India’s sovereign rating to Stable from Negative as downside risks to medium-term growth have diminished on rapid economic recovery.
Fitch Ratings kept the rating unchanged at ‘BBB-‘.
“The Outlook revision reflects our view that downside risks to medium-term growth have diminished due to India’s rapid economic recovery and easing financial sector weaknesses, despite near-term headwinds from the global commodity price shock,” it said.
It, however, cut the economic growth forecast to 7.8 percent for the current fiscal (April 2022 to March 2023) from the 8.5 percent prediction it made in March due to the inflationary impact of the global commodity price shock.
Fitch Ratings Inc. is an American credit rating agency and is one of the “Big Three credit rating agencies”, the other two being Moody’s and Standard & Poor’s. It is one of the three nationally recognized statistical rating organizations (NRSRO) designated by the U.S. Securities and Exchange Commission in 1975.
Fitch was founded by John Knowles Fitch on December 24, 1914, in New York City as the Fitch Publishing Company. In 1989, the company was acquired by a group including Robert Van Kampen. In 1997, Fitch was acquired by FIMALAC and was merged with London-based IBCA Limited, a FIMALAC subsidiary. In 2000 Fitch acquired both Chicago-based Duff & Phelps Credit Rating Co. (April) and Thomson Financial BankWatch (December).
(With PTI inputs)
(PSU Watch– India’s Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Google News. Click here to follow. Also, join PSU Watch Channel in your Telegram. You may also follow us on Twitter here and stay updated.)