India among large EMs set for highest debt burden by 2021, says Moody's

Large emerging market sovereigns will have higher debt burdens for the next few years, says ratings agency.

Tamil Nadu has borrowed close to a massive Rs 40,000 crore in four-and-a-half months, compared to Rs 17,000 crore last year
Premium

Lingering fragilities in the sector are likely to be compounded by a prolonged period of subdued economic activity compared to pre-coronavirus levels, it added.

Press Trust of India New Delhi
Moody's Investors Service on Tuesday said India will be among the large emerging market sovereigns to have highest debt burden by 2021.
The coronavirus pandemic-induced deterioration in growth and fiscal dynamics will leave most large emerging market sovereigns with higher debt burdens over the next few years, it said.
"We expect government debt in the large emerging market sovereigns to rise by almost 10 percentage points of GDP on average by the end of 2021 from 2019 levels, driven primarily by wider primary deficits, although some are likely to see higher interest payments contributing to higher debt," Moody's said.
"Debt burdens in Brazil,

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Sep 01 2020 | 8:16 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com