JCR Raises India’s Sovereign Rating to A-
Why in the news
A Japanese rating agency gave India a one-step sovereign upgrade, reflecting improved views of its economy and financial sector.
Key facts
- Agency: Japan Credit Rating Agency (JCR).
- Sovereign rating moved up one notch from BBB+ to A-.
- Country ceiling raised to A.
| Parameter | Earlier | Now |
|---|---|---|
| Sovereign rating | BBB+ | A- |
| Country ceiling | Not stated | A |
Reasons cited
- Steady economic growth at about 7%.
- GST reforms.
- Digital Public Infrastructure.
- Stronger bank balance sheets and better soundness of the financial system.
Exam angle
- Rating agency: Japan Credit Rating Agency (JCR), based in Japan.
- Upgrade: BBB+ to A-, a one-notch rise.
- Growth benchmark mentioned: around 7%.