US Agency Moody’s has improved India’s credit rating after 13 years. The agency has increased the rating of India from Baa3 to Baa2 on Friday. Moody’s told Economic and Institutional Reforms that India’s credit rating has increased. In 2004, Moody’s gave India Baa3 rating. It is considered as the lowest investment grade.
India is constantly growing
According to the News Agency, Moody’s said in his statement, “The reason for the upgrading of India’s rating is the economic reforms happening there.” As time goes by, India’s growth will increase. It is also possible that the government in the medium term but the burden of debt will be reduced.”
“We believe that applying reforms correctly will reduce the risk of the growth of debt and the decrease of growth.”
However, Moody’s has advised that India should also keep in mind that more debt will not spoil its credit profile anywhere.
Minister Ravi Shankar Prasad tweeted
– “International agency Moody’s has upgraded India’s rating for the first time since 2004. It shows trust in the Modi government.”
What is Moody’s, how is the Credit rating given?
– The giving of this system of giving rating started in 1909 by John Moody. Its purpose is to give investors a grade, so that they can become credit in the market.
– The agency has set 9 symbols for grading – Aaa, Aa, A, Baa, Ba, B, Caa, Ca and C. There are also 1, 2, 3 sub-categories of Aa to Caa.
Currently, Moody’s is a key part of the Global Capital Markets. It gives credit ratings, research tools and analysis to the financial market.
– Moody’s Corporation is the parent company of Moody’s Investors Service, which works as credit rating and research.
– In 2016, the revenue of the corporation was $ 3.6 billion (about 23 thousand 321 million rupees). The agency’s work is in 41 countries around the world, in which about 11 thousand 700 people work.