For the first time in over a century, world’s largest & most liquid bond market doesn’t have an Aaa rating. Over the past decade, US govt’s fiscal metrics have deteriorated considerably.
A sectoral note by the US credit rating agency says continued tensions may hinder Pakistan's access to foreign funds, putting pressure on its ability to meet external debt payment needs.
Moody's, which downgraded country's rating from B1 to B2, also notes that ‘nascent reemergence of community-based tensions’, risk of further deterioration in law & order may dampen growth.
Report on ‘temperatures beyond the heatwave’ published last week underlines how heat stress disrupts life, says nations used to heatwaves have already developed mitigation strategies.
According to Ministry of Water Resources, average annual water availability per capita is likely to drop to 1,367 cubic meters by 2031 from already-low 1,486 cubic meters in 2021.
Latest Moody’s Analytics report shows India, Philippines have shown highest decline in gender employment gap since 2019. But the disparity for India is still 4 times that of US, EU.
Ratings agency kept India’s rating & outlook unchanged, citing Indian economy’s growth, banking success on the one hand versus high debt, fiscal deficit and interest payments on the other.
Earlier in a statement, the rating agency said the narrower fiscal deficit underscores the Modi government's commitment to longer-term fiscal sustainability.
The rating agency’s decision is driven by Pakistan’s heightened external vulnerability risk and uncertainty around its ability to secure adequate additional external financing.
Advice comes at a time when India accounts for a 5th of global generic drug supply & 40% of generics used in US. However, this strength in finished formulations relies on imported ingredients.
It’s easy to understand why the government can’t speak the hard truth. When this war ends, as all wars do, India’s interests will lie with both the winner and the loser.
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