S&P Global Ratings upgrades India's credit rating to 'BBB'
S&P Global Ratings has upgraded India's credit rating, moving from 'BBB-' to 'BBB' on August 14, 2025.
The Reserve Bank of India (RBI) says this could mean more foreign money flowing into the country and potentially lower borrowing costs for the government.
The move reflects confidence in India's strong economic growth and efforts to keep government finances in check.
RBI on why this matters
According to the RBI, the upgrade might make Indian government bonds more attractive to global investors.
Still, things haven't shifted overnight—10-year bond yields stayed steady at first due to global trade worries but dipped briefly after the announcement before rising again later in August.
Investors are also asking for a bit more return on long-term bonds now, showing some caution about future risks.