Ratings may remain stable for the next couple of years: S&P's Ravi Bhatia

S&P Ratings Director Ravi Bhatia says although there are some short-term implementation issues, over time, GST should help widen the tax net and increase govt revenues

A ratings upgrade by Standard and Poor’s is unlikely before the 2019 general election, S&P Global Ratings Director Ravi Bhatia indicates in an interview to Dilasha Seth. Vulnerabilities on account of low gross domestic product (GDP) per capita and high government debt counterbalance the robust GDP growth he says. Edited excerpts:

The report forecasts robust economic growth, rise in forex reserves with limited fiscal risks. Yet, the rating has been maintained at BBB- with a stable outlook. Why?

The ratings on India reflect the country’s strong gross domestic product growth, sound external profile, and improving monetary credibility. India’s strong democratic institutions