S&P upgrades India rating, despite US tariff threats

Mumbai: S P upgraded India s long term sovereign credit rating on Thursday, with the agency citing New Delhi s commitment to fiscal consolidation an...

Mumbai: S&P upgraded India's long-term sovereign credit rating on Thursday, with the agency citing New Delhi's "commitment to fiscal consolidation" and its "buoyant economic growth".

The US ratings agency said it was upgrading the world's fifth-largest economy from BBB- to BBB, adding that it expects the impact of US President Donald Trump's tariff blitz on India to be "manageable".

The outlook on the long-term rating, S&P noted, is "stable".

"The upgrade of India reflects its buoyant economic growth, against the backdrop of an enhanced monetary policy environment that anchors inflationary expectations," S&P said in a statement.

"Together with the government's commitment to fiscal consolidation and efforts to improve spending quality, we believe these factors have coalesced to benefit credit metrics."