Highlighting India is coming out of post Goods and Services Tax (GST) implementation woes, global rating agency, Standard & Poor's (S&P) ratings, in its latest report titled ‘APAC Economic Snapshots, January 2018’ has said that overall economic risks in India remain low, on the back of pick up in industrial output and bank credit. However, the rating agency raised concerns over rising crude oil prices, terming it as a ‘risk’ for the country, as a majority of India's import bill stem from crude oil purchases.
The report further mentioned about recent growth of industrial sector, noting that Industrial output (and investment more generally) -- the missing piece of the sustainable growth story in recent years -- jumped to a 25-month high in November, led by manufacturing. Besides, the rating agency also highlighted improving bank credit situation to the real economy.
On the Asia-Pacific region, S&P ratings said that both export and domestic demand are showing positive signs in the more trade-dependent Asia-Pacific economies, with high export growth and broadening domestic demand. Apart from this, the report also expressed optimism over China's 2017 strong GDP growth which is suggesting an ongoing rebalancing of its economy and for Japan, it said that the near-term economic remains relatively bright in this country.