Just after Standard & Poor's revised India's rating outlook from 'negative' to 'stable', a confident Arvind Mayaram underscored that growth rate this fiscal will be in range of 5.5%-5-9%, higher than the rating agency’s estimate of 5.5%, which in turns strengthens the case for rating upgrade.
In a big sentiment boost, Standard & Poor's revised India's rating outlook from 'negative' to 'stable', though retaining the rating at ‘BBB-‘. Further, while upgrading the outlook, the global rating agency highlighted that the rating of the country too could be upgraded if the economy reverts to a real per capita GDP trend growth of 5.5% per year. Nevertheless, Arvind Mayaram reiterated that his government continually believed that the growth this year would be in the region of 5.5%-5.9% and there was a strong likelihood for upwards revision of the credit rating.
At the same time, Mayaram also lauded the global rating agency for acknowledging the steps taken by the Centre to improve the economy and specially bring the investment climate back and therefore the growth is cycle back.
Modi, in his outlook revision, which came four months after the Modi regime took over, underscored that this revision reflects its view that India's improved political setting offers a conducive environment for reforms, which could boost growth prospects and improve fiscal management.
