Is Moody's upgrade a thumbs up to BJP-Modi's reforms?
19 November, 2017, 02:29 | Author: Valerie Burke
The upswing in the key indices came after the USA credit rating agency Moody's upgraded India's sovereign rating to Baa2 from its lowest investment grade of Baa, while changing the outlook for the country's rating to stable from positive, and said its was based on the Indian government's "wide-ranging programme of economic and institutional reforms".
President of industry chamber Ficci Pankaj Patel said the development underlines the fact that India is moving in the right direction.
Moody's Investors Service on Friday upped the long-term ratings of four Indian financial institutions including SBI and HDFC Bank by a notch to Baa2 following the upgrade of the country's sovereign rating to the same level.
The rating upgrade by Moody's will help Indian corporates to reduce their borrowing costs in the medium term as it will lower the risk premium for the companies.
Finance Minister Arun Jaitley, who has been taking the flak for slowing economic growth and messy implementation of GST, said the jump in India's ranking in World Bank's ease of doing business by 42 places and Friday's rating upgrade vindicated the government's belief in their "reforms process".
Your first look at the Fantastic Beasts sequel is here
Warner Bros . has released a gorgeous picture of the second Fantastic Beasts' cast, plus lots of tasty plot details-and a title. But when Grindelwald stole the Elder Wand from Gregorovitch the wandmaker, the power went to his head and he got all evil.
"Markets should worry that the government now having received the ratings upgrade, may actually slacken and relax its commitment to reducing fiscal deficit, as per the stated plan - especially, at a time when investors seem to be worrying about the same as reflected in the increase in bond yields of more than 50 bps since August 2017,"said Mr Chari. The Reserve Bank should cut rates on December 6 to signal a lending rate cut before the busy season with inflation well under control", Sen Gupta said". Moody's upgrade, its first since January 2004, moves India's rating to the second lowest level of investment grade.
"Longer term, India's growth potential is significantly higher than most other Baa-rated sovereigns", the agency said. The Sensex was trading 384.73 points or 1.16 per cent higher during the early session. Some of the gains were clipped later in the day. Recognition for recent economic reforms in India & 5000 year track record of no default.
"The intent of Modi government is to continue with its reform agenda", he said.
However, the rating agency has warned that if fiscal metrics and the outlook for general government fiscal consolidation deteriorates materially, then the ratings can be improved.
Upgradation of India's credit rating by Moody's is a big news, because it has been done after 14 years, and done at a time when business analysts and observers are severely questioning PM Modi's decisions to implement GST and ban 80% of currencies overnight.
Trump has not mentioned Moore in public comments and tweets , and has ignored reporters' questions about the allegations. Franken apologized to Tweeden both publicly and in a separate letter sent to her that Tweeden read aloud on The View .
We worked diligently to come up with a resolution, and we could have ultimately been back in the classroom", she says. It's been a rough few weeks for students and college professors in Ontario, Canada's most populous province.
U.S. oil production has already increased by more than 14% since mid-2016 to 9.62 million bpd and is expected to grow further. Crude stocks at the Cushing, Oklahoma, delivery hub fell by 1.5 million barrels, EIA said.
A northwest wind of 8 to 13 miles per hour , gusting as high as 18 miles per hour , will become light northwest after midnight. Monday morning will be the coldest with lows ranging from the mid 30s north of I-10 to the low 40s at the coast.
Are you traveling for the Thanksgiving holiday? Flying High: Over 82,000 Wisconsinites are forecast to take a flight. The average price of gas in our state rings in at $2.40/g, which is up 32 cents from this time a year ago .
The global anti-doping body this week refused to reinstate Russia's anti-doping agency for the third year straight. Putin personally oversaw the $50 billion preparations for the Sochi Games, the most expensive in Olympic history.
Ellen jokingly predicted Blake's new title will "be a strain" on the romance, to which Blake replied: "I know". Because he's still a man and still alive, so I gotta call shenanigans on People ", one user wrote .
Apple Delays HomePod Speaker Until Early 2018
Although Siri was early to the voice assistant party, the company is late to the smart speaker trend. HomePod is created to work with an Apple Music subscription and iPhone 5s and above running iOS 11 .