Moody's keeps India at Baa3 and calls energy shocks manageable
Moody's has stuck with India's Baa3 investment-grade rating and a stable outlook, basically saying it trusts India to handle its money matters, even with recent spikes in energy prices from Middle East tensions.
The agency believes these bumps are manageable and won't throw India off track.
Moody's sees India growing near 6%
Moody's expects India's economy to grow around 6% through March 2027, even if oil prices stay high.
While the fiscal deficit could widen to 4.8% of GDP in the current financial year ending March 2027 (according to Bloomberg), Moody's is optimistic about the government's plan to bring it down over time.
One challenge: interest payments take up a big chunk of government revenue, much more than in countries like Mexico or Greece, but overall, Moody's is still backing India's long-term stability.