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Japan’s R&I Upgrades India Sovereign Rating to BBB+

22 September 20251 min read
ECONOMYJapan’s R&IUpgrades IndiaSovereign Ratingto BBB+22 September 2025safalsetu.com

Why in the news

Japanese agency Rating and Investment Information (R&I) raised India’s sovereign rating to BBB plus, indicating stability.

Key facts

  • Domestic consumption and reforms anchor growth; India stays among the best-performing economies.
  • US tariffs (up to 50%) are a risk, but India depends little on US exports.
  • GST rationalisation: four slabs became two main rates; lost revenue is partly offset by higher consumption.

2025 rating momentum

AgencyChange
Morningstar DBRSBBB (low) to BBB, May 2025
S&P GlobalBBB- to BBB, August 2025
R&ITo BBB+, third upgrade this year

Exam angle

  • Agency: R&I, Japan; rating: BBB+.

Test yourself

1. Which Japanese agency upgraded India's sovereign rating to BBB plus?

The notes name R&I.

2. S&P Global upgraded India to BBB from BBB- in which month of 2025?

The notes say August 2025.

3. After GST rationalisation, the structure moved from four slabs to:

The notes state four slabs became two main rates.