Page 5 - S&p Ratings

FinMin 'not disappointed' with S&P action; terms it a cautious move

New Delhi, 24 NovemberThe government, after Standard & Poor's affirmation of India's sovereign rating and outlook, said the rating agency was more cautious in its assessment than Moody's but agreed that fiscal consolidation was a concern in financial year 2017-18.On Friday, S&P reiterated its BBB- rating and 'stable' outlook for India. Also,d that despite two quarters of weaker than expected growth, the economy was forecast to grow robustly in 2018-2020 and foreign exchange reserves to continue rising. Also, that sizable fiscal deficits, a high net general government debt burden and low per capita income detracted from the credit profile."They (S&P) have the same two concerns Moody's had -- fiscal deficit and low per capita growth. So, my sense is that S&P chose to play a little cautious this year, though their assessment is also almost in line with Moody's and possibly is waiting for some time to upgrade," economic affairs secretary Subhash Garg told reporters after ..