Fitch affirms India at ‘bbb-‘ with stable outlook; Tariff Risk Seen as Moderate Downside – CNBC tv18

Fittch ratings on monday reaffirmed India’s long-term Foreign currency Issuer default rating at ‘bbb-‘ with a stable outlook, underscoring that the countery’s strong Momentum and Solid External Finances Continue to Support Its Credit Profile. The agency forecast India’s GDP growth at 6.5% in FY26.

“India’s ratings are supported by its Robust Growth and Solid External Finances,” Fitch Said, Adding that Growth Along Metrics, Including GDP Per Capita. This, in turn, “can increase the likelihood that India’s debt can trend modestly downward in the medium term.”

At the same time, the agency highlighted that “fiscal metrics are a credit weakness, with high deficits, debt and debt service compared with ‘bbb’ peers,” BHILE LAGGINGINCE GOVBB ‘Pears and GDP Per Capita also constrain the rating.

Fittch cautioned that the planned 50% tariff on India by the trump administration represents a Lower. “

The Affirmation Comes Shortly after S & P Global Upgraded India’s Sovereign Rating Earlier this month, Raising it to ‘BBB’ from ‘From’ BBB- ‘, Citing “Buoyant Economic Growth” Consolidation.

Also read, India’s Sovereign Rating Upgraded by S & P Global to BBB; Outlook Stable

S & P Forecast India’s Economy to Expand at an average of 6.8% Annuously over the next three years, while revising the short-term rating to a-2 from a-3 and the transfer and convectibility assem From BBB+.

Both agencies retained a stable outlook, reflecting expectations that Sustained Policy Stability, High Infrastructure Investment, and Cutious Fiscal Management will Support Indian ‘ Trajectory.