Indian companies' credit ratio 3.2 times in H1 FY2027 decade-best
Business
Indian companies are holding up well, even with global challenges like rising oil prices and trade issues.
Their credit ratio hit 3.2 times in H1 FY2027, the best it's been in over 10 years, thanks to smart debt management and banks keeping bad loans low.
Downgrades fall to just 4%
Sectors like power, real estate, and auto parts led the way as upgrades outpaced downgrades, pushing the credit ratio above its 10-year average.
Even though upgrade rates dipped a bit, downgrades dropped to just 4%, showing most companies are still on solid ground.
ICRA warns oil and monsoon risks
ICRA thinks high oil prices and weak monsoons could slow down farm growth and cool off GDP a little in FY2027.
Still, strong company balance sheets and healthy banks should help India weather any bumps ahead.