Moody’s retains stable rating outlook

Moody’s Investors Service said it was maintaining its stable outlook on India’s rating despite slowing growth, high inflation and an uncertain investment policy environment. Moody’s said these challenges have already been factored in their Baa3 rating and slowing growth, investment and poor business sentiment are unlikely to be permanent or medium term features of the Indian economy. 
The announcement should come as a relief for policymakers, who have been battling severe criticism after two global ratings agencies Standard & Poor’s and Fitch revised their outlook on India’s rating to negative from stable, citing slowdown in growth, weak public finances, lack of economic reforms and stalled policies. 
In fact S&P had cautioned that India could be the first 
country among the BRIC (Brazil, Russia, India and China) group to lose its investment grade rating. 

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