Indian Sovereign Rating is Stable-Moody

The rating agency, Moody's Investors Services on 26 September 2012 in its Outlook for India expected stability due to the newly announced reforms (FDI & hike in petrol rates). It believed that these reforms will help India in pairing up of the fiscal deficits. Indian sovereign credit rating outlook was kept by the agency at Baa3 for the medium term. 

Sovereign Risk Group at Moody's, vice-president, Atsi Sheth said that the nations target may exceed the fiscal deficit due to the reforms being practiced. He also predicted that the gross fiscal deficit of India can overshoot the estimated target of 5.1 percent of the GDP proposed for the fiscal year 2012-13 that will end in March.

Whereas, the outlook to India by the rating agencies Fitch and Standard & Poor’s was negative, where the two agencies showed concerns towards the pace of reforms going on in India along with the economic downfall.