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.
It also revised the growth forecast for FY2021 to 8.6% from 8.1%. Moody's attributed the reason behind better growth to the falling of coronavirus cases in India.
The investor service said India's credit profile is increasingly constrained by low growth and high debt burden, which have been exacerbated by the pandemic.
Chief Economic Advisor Krishnamurthy Subramanian statement came after Moody's downgraded India's rating and S&P retained it at the lowest investment grade.
Moody’s said credit flow to the economy already remains severely hampered because of severe liquidity constraints in the bank and non-bank financial sectors.
The decision to opt out of the big RCEP trade deal may eventually have been out of lack of choice, but it is silly to pretend it is a sign of bold leadership.
Mineral security is no longer just an economic concern but a national security imperative, underpinning the country’s ambitions in clean energy, defence self-reliance, and advanced manufacturing.
Mini deal will likely see no cut in 10% baseline tariff on Indian exports announced by Trump on 2 April, it is learnt, but additional 26% tariffs are set to be reduced.
India-Russia JV is also racing to deliver 7,000 more AK-203 assault rifles by 15 Aug. These are currently being made with 50% indigenisation and this will surge to 100% by 31 December.
Public, loud, upfront, filled with impropriety and high praise sometimes laced with insults. This is what we call Trumplomacy. But the larger objective is the same: American supremacy.
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