Page 4 - Rating Agencies

Covid impact: S&P slashes India's GDP growth forecast to 9.8% for FY22

S&P Global Ratings on Wednesday slashed India's GDP growth forecast for the current financial year to 9.8 per cent saying the second COVID wave may derail the budding recovery in the economy and credit conditions. The US-based rating agency in March had a 11 per cent GDP growth forecast for India for the April 2021-March 2022 fiscal on account of a fast economic reopening and fiscal stimulus. S&P, which currently has a 'BBB-' rating on India with a stable outlook, said the depth of the Indian economy's deceleration will determine the hit on its sovereign credit profile. The Indian government's fiscal position is already stretched. The general government deficit was about 14 per cent of GDP in fiscal 2021, with net debt stock of just over 90 per cent of GDP. "India's second wave has prompted us to reconsider our forecast of 11 per cent GDP growth this fiscal year. The timing of the peak in cases, and subsequent rate of decline, drive our considerations," said S&P Global ...

Fitch affirms India's rating at 'BBB-'; outlook negative due to Covid surge

A resurgence in Covid-19 in the country has increased downside risks to growth

Negative outlook list may get longer, Q1 biz to be hit: Rating agencies

In February, things seemed to be coming under control with vaccination, giving the impression the system would cope with the pandemic

Budget's transparency on numbers to enthuse rating agencies: SBI economists

The budget redefines fiscal rules because it adds off-balance sheet items to the headline deficit, a note said adding that consolidation of finances is a pragmatic move

Like Bollywood, rating agencies underrate emerging faces: CEA Subramanian

Fiscal expansion, as suggested by the Economic Survey, will be funded by disinvestments, borrowing and both direct and indirect tax receipts, he says

Economic survey 2020-21: Forget rating agencies, spend without fear

Government spending becomes imperative at the time of excessive risk aversion in the private sector

Despite Covid-19, ratio of rating upgrades to downgrades improves

According to SBI EcoWatch, only 15-20 per cent of firms may request for a debt rejig

Rating firms rework their India FY21 GDP forecasts with sharper contraction

Impact on wages to severely dent consumption and decelerate recovery, says India Ratings

Top headlines: Rating firms cut GDP forecast, hiring outlook at 15-year low

Global rating and research houses, such as Fitch and Goldman Sachs, have cut their estimates for growth in India's GDP for the current fiscal 2020-21.

India must look beyond what rating agencies think, says Raghuram Rajan

RBI needs to focus on whether credit is reaching the stressed areas of the economy and also if the viable firms were able to access credit and not the unviable ones, he says

IT services sector's revenues may contract up to 3% in FY21: Icra

In its report, domestic rating agency Icra also said that the profit margins for the sector will go down as the growth slows down

Fitch Ratings, CRISIL, SBI Research see India economy shrinking in FY21

CRISIL said it expected the current quarter's GDP to shrink 25 per cent year on year.

Fitch revises outlook on Airtel to negative from stable; affirms at 'BBB-'

Fitch, last week, lowered India's sovereign rating outlook to 'negative' from 'stable', saying the coronavirus pandemic has significantly weakened the country's growth outlook

RBI asks rating agencies to use social media, AI to catch stress signals

Rating agencies meet RBI top brass, seek access to Central Repository of Information on Large Credits (CRILC) maintained by central bank

RBI Guv meets heads of rating agencies, seeks assessment of Indian economy

During the meeting, among other matters, agencies' assessment of the macroeconomic situation and outlook on various sectors, including the financial sector, was discussed.

CRISIL to CARE, agencies peg India's economic growth at 4-4.7% in FY20

The first Advance Estimates, released in January for the purpose of Budget preparations, pegged the economic growth rate at 5 per cent in 2019-20.

Sebi eases 90-day curing period norm for defaulting firms post-downgrade

Raters can move company to speculative grade on case-by-case basis

India Inc grapples with rising rating downgrades, revisions in outlook

Domestic rating agency CARE revised outlook on rating for Tata group-owned Indian Hotels Company Ltd from "stable" to 'negative'

Rating agency Brickwork downgrades PTC Financial Services to AA- from AA

The negative growth in the loan book of PFS, a unit of PTC India, is on account of funding challenges faced by NBFCs

Coronavirus impact: Rating agencies see more pain for banks and NBFCs

'Spike in NPAs will be reflected over the next few quarters'