Moody India Rating LIVE Updates: Moody’s Investors Service on Friday upgraded the Government of India’s local and foreign currency issuer ratings to Baa2 from Baa3 and changed the outlook on the rating to stable from positive. Moody’s believes that the reforms put in place have reduced the risk of a sharp increase in debt, even in potential downside scenarios. Moody’s rating revision of India a notch above investment grade comes after a gap of 14 years. The broader market also cheered the news as the BSE Sensex jumped 331.72 points to trade at 33,438.54.

Track here Live updates of Moody India Rating LIVE Updates:

5:20 pm: NTPC’s current installed capacity represents 15.8 per cent of India’s installed power generation capacity. NHPC is the largest hydro power generator of India and accounted for about 15 per cent of country’s total installed hydro capacity of around 44.5 GW as of March 2017. Moody’s said the baseline risk of NHAI is closely related to the Indian’s Government’s financial strength. “As a result, the baseline risk for NHAI is effectively the default risk of the Indian government,” Moody said.

4:51 pm: The upgrade of the foreign currency ratings of ONGC follow the raising of the ceiling for foreign currency bonds, it said. While for PLL the upgrade is in step with changes in rating of IOC and BPCL, Oil India Ltd (OIL) rating remains unchanged at Baa2. “The upgrade in ratings for NTPC, NHPC, NHAI and GAIL follows the upgrade of the Indian sovereign rating and reflects the strategic importance of these entities to the country, as well as their close operational and financial links with the government,” Moody’s said.

4:34 pm: “The rating upgrades for IOC, BPCL and HPCL follow the upgrade of the sovereign rating and reflect the strategic importance of the oil marketing companies as they own and operate the majority of the country’s fuel refining entities and most of the fuel distribution infrastructure,” Moody’s said.

4:24 pm: Early today, Moody’s Investors Service upgraded India’s local and foreign currency issuer ratings to Baa2 from Baa3 and changed the outlook on the rating to stable from positive. This upgrade comes after 13 years. India’s sovereign credit rating was last upgraded in January 2004 to Baa3 (from Ba1).

4:15 pm: “The upgrade in ratings for NTPC, NHPC, NHAI and GAIL follows the upgrade of the Indian sovereign rating and reflects the strategic importance of these entities to the country, as well as their close operational and financial links with the government,” Moody’s said.

4:12 pm: The upgrade of the foreign currency ratings of ONGC follow the raising of the ceiling for foreign currency bonds, Moody’s said.

4:10 pm: “The rating upgrades for IOC, BPCL and HPCL follow the upgrade of the sovereign rating and reflect the strategic importance of the oil marketing companies as they own and operate the majority of the country’s fuel refining entities and most of the fuel distribution infrastructure,” Moody’s said.

4:08 pm: This upgrade comes after 13 years. India’s sovereign credit rating was last upgraded in January 2004 to Baa3 (from Ba1).

4:06 pm: Early today, Moody’s Investors Service upgraded India’s local and foreign currency issuer ratings to Baa2 from Baa3 and changed the outlook on the rating to stable from positive.

4:04 pm: For Oil and Natural Gas Corp (ONGC), which enjoyed a rating higher than the sovereign, the foreign currency issuer rating has been upgraded to Baa1 from Baa2. “The outlook is stable,” it said.

4:02 pm: Simultaneously, ratings of NTPC, hydroelectric producer NHPC, National Highway Authority of India (NHAI) and GAIL India have also been raised to Baa2 stable.

4:00 pm: In step with India rating upgrade, Moody’s Investors Service today upgraded issuer ratings of nine state-owned firms including oil producer ONGC, refiners IOC, BPCL and HPCL, power generator NTPC and gas utility GAIL.

3:57 pm: The foreign currency issuer ratings of Bharat Petroleum Corp Ltd (BPCL), Hindustan Petroleum Corp Ltd (HPCL), Indian Oil Corp (IOC) and Petronet LNG Ltd (PLL) was upgraded to Baa2 from Baa3, the same as India’s sovereign rating upgrade.

3:55 pm: The outlook on these ratings have been revised to stable from positive, Moody’s said in a statement.

3:53 pm: Moody’s has undertaken the long awaited upgrade in India’s sovereign rating. The upgrade is only one notch above the lowest investment grade to Baa2 and still may not appear to be in sync with the level of economic growth as well as the strong macro- economic fundamentals prevalent in the country, says lead Economist of Deloitte Anis Chakravarty.

3:50 pm: The upgrade has been ascribed to sweeping reform measures and can be expected to bring buoyancy in equity and debt markets, lead Economist of Deloitte Anis Chakravarty said.

3:48 pm:Coming on the back of significant improvement in the World Bank’s ease of doing business index, this upgrade can also be expected to stimulate a more positive sentiment in the economy, says lead Economist of Deloitte Anis Chakravarty

3:46 pm: WATCH- Here is what Axis Bank CEO says about Moody’s rating

3:44 pm: Kalpesh Mehta, Partner, Deloitte India on Moody’s rating: This is a positive that, despite a slowdown in short term and with the vision for the future in the context of the overall strategy and structure , the confluence of new initiatives, progressive regulatory environment along with technology will promote productivity.

3:42 pm: At an ecosystem level, development in banking infrastructure and implementing regulations receptive to innovations and data requirements would make expectation meet the goals, Kalpesh Mehta, Partner, Deloitte India said.

3:40 PM: “Lesson is stop acting and get your act together. Shun arrogance and listen to the trade and industry,” Surjewala told the finance minister.

3:38 PM: The Congress leader said the Modi government relied upon a World Bank report of Delhi/Mumbai to claim all is well and quoted a PEW survey of 2,464 people to claim victory.

3:36 PM: Taking a dig at Finance Minister Arun Jaitley, Surjewala said, “Mr Jaitley, do remember that Moody’s, S&P and other rating agencies defaulted in rating American sub-prime mortgages…before the economic meltdown.”

3:34 PM: The Congress today accused the Modi government of “clutching at straws” to reclaim the lost credibility, and said it and rating agency Moody’s have failed to gauge the mood of the nation.

3:32 PM: Congress communications in-charge Randeep Surjewala also sought to downplay Moody’s rating upgrade of India, saying the same agency had miscalculated US subprime mortgages before the economic meltdown.

3:30 PM: “After destroying India’s economy, the Modi government is clutching at straws to claim lost credibility,” he said on Twitter.

3:27 PM: “Modiji and Moody’s ‘jodi’ (duo) have failed to gauge the mood of the nation,” he said, adding that hunger deaths, agri distress, job losses, lowest credit ratings, rising prices, plunging exports, flawed GST, demonetisation disaster, stagnant growth are the real indices to measure it.

3:24 PM: FM Jaitley said the GST itself has been universally regarded as landmark reform in tax structure.

3:22 pm: Meanwhile, “And after a long spell of 13 years, India gets the rating upgrade. I am sure that many who had doubts would now seriously introspect on their own positions,” the Finance Minister said in a jibe at critics of his government’s reforms programme.

3:20 PM: Finance Minister Arun Jaitley today termed Moody’s upgrading India’s sovereign rating after 13 years as “belated recognition” of reforms undertaken, saying that the reform agenda will continue with emphasis on higher spending on infrastructure and in rural areas.

3:18 PM: He vowed to maintain the fiscal discipline, stating that the government “intends to stay the course on fiscal consolidation in the medium term”.

3:16 pm: Rating upgrade only a reaffirmation of reforms taken by Govt; need to wholeheartedly look at our sweet spots and how to take advantage, Axis Bank MD and CEO, Shikha Sharma, said.

3:14 PM: Shares of PNB surged 6 per cent, Bank of Baroda soared 5.17 per cent, Yes Bank gained 4.16 per cent, SBI (3.91 per cent) and ICICI Bank (3.55 per cent) on BSE in the morning trade. While Axis Bank gained 2.64 per cent, HDFC Bank went up by 1.18 per cent.

3:11 PM: Earlier in the day, American rating agency Moody’s raised sovereign rating of the country by a notch to Baa2 with stable outlook. The news boosted the market that rallied over 1.3 per cent and lifted the Bankex up to 6 per cent.

3:08 PM: From a foreign investors’ perspective the upgrade will help “raise their investment limits because it all depends on the country rating, and sometimes, even if they desire to invest, they get constrained by the country rating,” the SBI Chairman said.

3:05 PM: State Bank chairman Rajnish Kumar has welcomed the first sovereign ratings upgrade by Moody’s in 13 years as a positive measure that will make foreign funds cheaper for both corporates as well as his bank.

3:02 PM: Rajnish Kumar described the move as a “re-affirmation of how the world views India, which has been long pending and a thumbs up to the various reform measures,” and added as a result, “the cost of foreign borrowings will automatically come down, which in itself is a big benefit for the country.”

2:59 PM: Stating that the upgrade was “much expected”, he said, “in fact, always the question was why the rating upgrade wasn’t happening… it also shows the views on our economy and reforms are more positive outside than within the country.”

2:56 PM: Talking to the press on the sidelines of the two-day Asian Bankers Association summit, hosted by SBI for the first time in the lobby group’s 34 year history here, he said he also expects the rating of SBI to go up reflecting the higher sovereign ratings.

2:53 PM: “SBI was always constrained by the country rating. As and when the SBI’s next review happens, we will also expect that State Bank gets a higher rating. Our review happened just recently where the ratings were reaffirmed. In my view, SBI’s rating and that of the sovereign should not be different.”

2:50 PM: He further stated the rating upgrade “gives a thumbs up to the economic prudence and reforms that government has initiated. Some of these reforms are mind-boggling, which have brought some difficulties in the transition period, but ultimately, there is no gain without pain.

2:47 PM: “And those pains are behind us now and it is time for some gains. These gains are real,” Kumar said, adding banking reforms through recapitalisation and the Insolvency & Bankruptcy Code and the GST rollout are the most notable reforms that enabled this upgrade.

2:44 PM: FM Jaitley said: “It is extremely encouraging that there is an international recognition and the fact that this recognition merely furthers our determination to follow the track we have embarked upon.”

2:41 PM: FM Jaitley said the upgrade has not happened in isolation and for the last three years the India has been the fastest growing major economy.

2:38 PM: WATCH- Here is what FM Arun Jaitley said

2:36 PM: Listing the series of reforms which led to the upgrade, he said while demonetisation took the economy towards greater formalisation and digitisation, use of Aadhaar ensured targeted delivery of government benefits.

2:33 PM: Also, a new insolvency and bankruptcy code has been enacted, massive bank recapitalisation programme formulated and a smooth transition to GST has happened, FM Jaitley said.

2:30 PM: The GST itself has been universally regarded as landmark reform in tax structure, he added. Stating that all these steps constitute major reforms and are directional, the FM said the rating upgrade therefore is “extremely encouraging”.

2:28 pm: WATCH- Noted investor Rakesh Jhunjhunwala’s take on Moody’s rating

2:25 pm: “It is an upgrade which has happened after 13 years. We welcome it and believe that it is a belated recognition of all the positive steps taken in India in the last few years which have contributed to the strengthening of the Indian economy,” FM Jaitley told reporters here.

2:22 pm: The upgrade is a recognition of the reform process in India, particularly in the last 3-4 years, in which structural reforms placed India on a high growth trajectory, he said.

2:20 pm: People of India have voted for PM Modi’s good governance again & again, election after election. BJP had 6 state govt till 2014, we have 18 state governments and by next month we will hopefully have 19, says Railway Minister Piyush Goyal.

2:17 pm: Take a look at BJP’s Tweet

2:15 pm: It gives confidence to investors & is a big message for the entire investor community. We will see more investment coming in & I think we are entering into a golden era of growth and prosperity for the country: Railway Min Piyush Goyal on Moody’s upgradation of India’s ratings.

2:12 pm: This is a only confirmation that PM Modi and his govt have consistently focused on good governance & to deliver to the people of India, a good quality of life: Railway Minister Piyush Goyal on Moody’s upgradation of India’s ratings.

2:10 pm: Finance Minister Arun Jaitley has termed the upgrade of India’s credit rating by Moody’s after a gap of 13 years as a “belated recognition” of reforms in the last few years, and vowed to continue them while maintaining fiscal discipline.

2:08 pm: Commenting on Moody’s upgrading India to Baa2, from Baa3, he said it is a recognition that India continues to follow the path of fiscal prudence which has brought stability to the economy.

2:06 PM: Moreover, on a PPP basis, India’s GDP per capita has outstripped the Baa-rated median for 19 countries. Between 2006 and 2016, this grew by 108 per cent against 74 per cent for all Baa-rated medians, it added.

2:04 PM: The “median debt:GDP ratio for Baa2 countries as against India’s debt:GDP ratio stood at 42.7294 : 68.9645,” Moody’s said.

2:02 PM: The factors that rating agencies normally consider while deciding on sovereign ratings include FDI inflows, debt-to-GDP ratio and per capita income of nations, among others.

2:00 PM: According to Moody’s, the average fiscal deficit of the other Baa2-rated countries was 4.2 per cent in 2016 and 3.1 per cent in 2017 (forecast).

1:58 PM: Russia has a Ba1 rating, South Africa (Baa3) and Brazil (Ba2).

1:56 PM: In September, S&P Global Ratings cut China’s long-term sovereign credit rating by one level to ‘A+’ from ‘AA-‘. Even Moody’s in May this year downgraded China to A1 from Aa3 and changed outlook to stable from negative.

1:53 PM: After Moody’s action, India is now three notches away from China. With Baa2 and a stable outlook, India is behind only China in the BRICS bloc, Moody’s said, adding that India, China and South Africa are investment grade sovereigns in the grouping.

1:50 PM: The upgrade signals increasing confidence in the Indian economy vis-a-vis China in the international market.

1:48 PM: The government and some commentators in India have been pitching hard for a rating upgrade citing the country’s strong economic fundamentals, political stability and a slew of reforms.

1:45 PM: Some of the key reforms that the Narendra Modi government has initiated include the Goods and Services Tax (GST), demonetisation, Aadhaar, bank recapitalisation, the Insolvency and Bankruptcy Code and targeted delivery of benefits through the Direct Benefit Transfer (DBT) system, among others.

1:42 PM: Sovereign rating is issued to national governments and a barometer of the country’s investment climate. It gives investors insight into the level of risks, including political, associated with investing in a particular country.

1:40 PM: According to Moody’s, Baa rating is medium-grade and subject to moderate credit risk while the modifier 2 indicates a mid-range ranking.

1:38 PM: The sovereign rating upgrade by global agency Moody’s has put India alongside Italy, Spain, Bulgaria and the Philippines in terms of investment climate.

1:36 PM: In effect, India has become the largest economy among Baa2-rated sovereigns, according to Moody’s.

1:34 PM: Moody’s upgrade of India’s rating is symbolic of the changing financial, institutional and economic structure under PM Narendra Modi vision of a New India, says Rajsthan CM Vasundhara Raje

1:32 pm: Moody’s expects GDP growth to moderate to 6.7 per cent in the fiscal year ending in March 2018.”Longer term, India’s growth potential is significantly higher than most other Baa-rated sovereigns,” Moody’s noted.

1:30 pm: Prime Minister Narendra Modi has relentlessly focused on agenda of fiscal consolidation; rating agencies have recognized the efforts taken by govt, says Piyush Goyal

1:27 pm: Fiscal responsibility, improvement in tax collection, GST are being recognized by world, the Railway Minister said.

1:25 pm: Railway Minister Piyush Goyal says, despite elections round the clock, govt focused on the economic reforms.

1:24 pm: Take a look at Finance Minister Arun Jaitley’s tweet

1:23 pm: The long awaited rating upgrade after the number of policy measure taken by the government of India did finally came, the ratings upgrade is likely to have a positive effect not only on equity but also on rupee and bond, says Dinesh Jain, MD, AUM Capital.

1:20 pm: The bold policy measures of the government would enhance India’s growth potential. Moody’s Investor Services upgraded the Government of India’s local and foreign currency issuer ratings to Baa2 from Baa3 and changed the outlook on the rating to stable from positive, says Dinesh Jain, MD, AUM Capital.

1:17 pm: The ratings upgrade is a recognition of long term growth and is likely to decelerate the selling by foreign investors. Moreover many new investors might start looking towards India as an attractive and stable investment destination. Secondly, this might lead to a lower cost of borrowing for corporates planning to raise funds, says Dinesh Jain, MD, AUM Capital.

Read Also: How Moody’s India credit rating upgrade hurt TCS, Infosys stocks

1:15 pm: Minister of State for Civil Aviation Jayant Sinha said, “Innovation and formalisation of economy leading to India’s growth.”

1:11 pm: Terming Moody’s much-awaited sovereign ratings upgrade as “positive inflection point”, Sebi chairman Ajay Tyagi has said it is an acknowledgement that the reform measures being taken by government are in the right direction.

1:08 pm: Tyagi also said the rating upgrade to Baa2 would further boost investments including foreign inflows.

1:06 pm: Moody’s upgrading India’s Ratings is a reflection of India growth story and sound economic principles for a New India. Hoping others will follow, Niti Aayog Vice Chairman Rajiv Kumar

1:04 pm: In you look at our track record of three years, it has been one of the better records in Indian history as far as fiscal discipline is concerned, and we intend to move on that track, says Finance Minister Arun Jaitley

1:02 PM: WATCH- Here is what FM Arun Jaitley says over Moody India Rating

1:00 pm: Demonetisation is now universally recognised and Goods and Services Tax (GST) is a landmark reform, says Finance Minister Arun Jaitley.

12:58 pm: George Alexander Muthoot, MD, Muthoot Finance on Moody’s upgrade: Moody’s ratings upgrade is a testimony of the fact that the government’s road map of fiscal reforms is on the right path. This global recognition is a positive step for overall Indian economy and it will also help in attracting global inflows into India. The rating upgrade will also provide relief to corporates on their borrowing costs.

12:55 pm: Many who had doubts in their minds about India’s reform process would now seriously introspect on their positions itself, says Finance Minister Arun Jaitley on Moody’s upgradation of India’s rating

12:53 pm: The fact that a series of steps including demonetisation, which are now taking Indian economy to a greater formalization and digitization, something which is being universally acknowledged, says Finance Minister Arun Jaitley

12:50 PM: It is encouraging that there is an international recognition and this nonrecognition firms our determination to follow the path that we have embarked upon.: Finance Minister Arun Jaitley on Moody’s upgradation of India’s rating

12:47 PM: It is a recognition and an endorsement of the reform process which has gone on in India, particularly in the last 3-4 years, where a number of structural reforms have taken place which has placed India on a path of high trajectory growth: FM Jaitley

12:45 pm: Ratings upgrade endorsement of reforms under PM Modi’s govt; upgrade recognition of fact that India committed to path of fiscal prudence, says FM Arun Jaitley

12:43 pm: Moody’s India Upgrade is a belated recognition of all positive steps taken, says FM Arun Jaitley

12:40 pm: We welcome this upgrade, says Finance Minister Arun Jaitley

12:38 pm: This will have a positive impact. It will boost investments here: Shaktikanta Das, former Economic Affairs Secretary on Moody’s upgradation of India’s rating

12:35 pm: It should’ve been done a year ago. Large number of reforms were taken in last 3 yrs, all of which were on track. It’s good they concluded that all reforms in India are long term and deep rooted: Shaktikanta Das, former Economic Affairs Secy on Moody’s upgradation of India’s rating

12:32 pm: WATCH- Moody’s Marie Diron says this

12:30 pm: Economic Affairs Secretary Subhash Chandra Garg said the upgrade is definitely a big vindication of the structural and institutional reforms that India is doing.

12:26 pm: “The fiscal deficit consolidation, debt control and all so everything which the government has done in the past couple of years have been recognised. They are projecting a little rise in the trajectory going forward, so they are conscious of the real dynamics of the debt situation. We, of course, remain committed to the fiscal path,” Garg said.

12:23 pm: Asked if the government will keep in mind the rating while reviewing fiscal deficit target next month, Subramanian said: “Government policies are dictated by what we have to do in terms of our own objectives, macroeconomic reforms and reviving growth.”

12:20 pm: Finance Secretary Hasmukh Adhia also said the path that the government has chosen for long-term reforms and fiscal consolidation is well recognised by investors already.

12:17 pm: “The rating agency too has now confirmed it formally, which is welcome,” Adhia tweeted.

Read Also- Moody’s credit rating upgrade: Modi picks up India from where Atal Bihari Vajpayee left

12:15 pm: WATCH- Here is what ICICI Bank CEO Chanda Kochhar said about Moody’s rating upgrade

12:13 pm: Moody’s upgrades long-term rating of 4 Indian financial institutions including HDFC Bank and State Bank of India to Baa2 From Baa3; Outlook ‘Stable’ From ‘Positive’.

12:10 pm: Heartening to note that Moody’s has taken note of India’s higher potential; upgrade will boost government revenues, ICICI Bank CEO Chanda Kochhar said.

Read Also: Moody’s credit rating upgrade- India closes gap with China yet again, but this time, on its own merit

12:07 pm: Moody’s rating upgrades boosts govt revenue; Bank Recap, Insolvency and Bankruptcy Code will speed up banking sector, said ICICI Bank CEO Chanda Kochhar

12:04 pm: Currency, bond and equity markets will strengthen further on rating upgrade by Moody’s, ICICI Bank CEO Chanda Kochhar said.

12:00 pm: Subramanian had earlier observed that rating agencies follow inconsistent policies while rating India and China.

11:58 am: The government, Chief Economic Adviser Arvind Subramanian said, “is going to do what it has to do on domestic front — employment growth, economic growth, reviving investment,” he told reporters here.

11:55 am: Asked if Subramanian expects other agencies like S&P and Fitch to upgrade, the Chief Economic Adviser said: “Let’s hope they are not inconsistent amongst each other.”

11:51 am: “Ratings upgrade is a result of series of reforms undertaken; bullishness on Indian economy driven by a combination of factors,” MoS, Aviation Jayant Sinha saID

11:49 am: Moody’s believes that the Narendra Modi Government’s reforms will improve business climate, enhance productivity, stimulate foreign and domestic investment, and ultimately foster strong and sustainable growth, the Prime Minister’s Office tweeted.

11:47 am: Reviewing the coal sector, PM Modi called for renewed efforts towards underground mining and coal gasification, through infusion of latest technology inputs. PM was also informed about progressing towards the targets for rural electrification and household electrification.

11:44 am: However, as disruption fades, assisted by recent government measures to support SMEs and exporters with GST compliance, real GDP growth will rise to 7.5 per cent next fiscal, with similarly robust levels of growth from 2018-19 onwards.

11:42 am: Meanwhile, Prime Minister Narendra Modi reviewed progress of key infrastructure sectors including PMGSY, housing, coal and power, yesterday. The review meet was attended by top officials from PMO, NITI Aayog and infrastructure Ministries of Government of India.

11:39 AM: The US-based Moody’s today upgraded India’s sovereign rating after 13 years to Baa2 with a stable outlook, from Baa3 earlier.

11:36 AM: “It’s a welcome development, but we also feel it was long overdue… it’s a recognition of the actions that the government has undertaken like GST, bankruptcy. We also need to keep all these things in perspective,” Chief Economic Adviser Arvind Subramanian said.

11:33 am: Top government officials today hailed the rating upgrade by Moody’s as ‘long overdue’ and hoped others such as S&P and Fitch will follow suit as it presses ahead with steps to ratchet up growth.

11:30 am: Watch this video

11:27 am: Other important measures which have yet to reach fruition include planned land and labour market reforms, which rely to a great extent on cooperation with and between the states, it said.

11:25 am: “Most of these measures will take time for their impact to be seen, and some such as the GST and demonetisation have undermined growth over the near term,” it added.

11:23 am: Also, improvements to the monetary policy framework, measures to address the overhang of non-performing loans (NPLs) in the banking system and those like demonetisation, the Aadhaar system of biometric accounts, and targeted delivery of benefits through the Direct Benefit Transfer (DBT) system are intended to reduce informality in the economy.

11:20 am: Take a look at Suresh Prabhu’s tweet

11:18 am: Aberdeen: Reforms adding to India’s strength. Nomura: Upgrade gives credibility to ongoing reforms in India.

11:16 am: Rating Upgrade Gives Thumbs Up To Govt’s Prudence, Reforms. Borrowing Costs Of Corporates Expected To Come Down Now, said SBI Chairman Rajnish Kumar

11:14 AM: The reforms programme will thus complement the existing “shock-absorbance capacity” provided by India’s strong growth potential and improving global competitiveness, it added. Reforms like the Goods and Services Tax (GST) will promote productivity by removing barriers to inter-state trade.

11:11 AM: “While a number of important reforms remain at the design phase, Moody’s believes that those implemented to-date will advance the government’s objective of improving the business climate, enhancing productivity, stimulating foreign and domestic investment, and ultimately fostering strong and sustainable growth,” Moody’s said.

11:08 AM: The global ratings agency, however, cautioned that high debt burden remains a constraint on the country’s credit profile. “Moody’s believes that the reforms put in place have reduced the risk of a sharp increase in debt, even in potential downside scenarios,” it said.

11:05 am: India upgrade by Moody’s is a recognition of series of reforms undertaken by the Government under the leadership of Hon. PM Narendra Modi.This comes amidst slew of global recognitions: Ease Of Doing Business ranking, Pew report, Former Railway Minister and Minister of Commerce and Industry Suresh Prabhu said.

11:00 am: The reforms programme will thus complement the existing “shock-absorbance capacity” provided by India’s strong growth potential and improving global competitiveness, Moody’s added.

10:55 am: Reforms like the Goods and Services Tax (GST) will promote productivity by removing barriers to inter-state trade.

10:53 AM: WATCH- Uday Kotak’s take on Moody’s India’s sovereign rating upgrade.

10:50 am: Seriousness of government to carry through big transformation reforms got noticed, says Deepak Parekh on Moody’s credit rating.

10:47 am: Moody’s Investors Service upgraded the Government of India’s local and foreign currency issuer ratings to ‘Baa2’ from ‘Baa3’ and changed the outlook on the rating to stable from positive, the statement said.

10:44 am: Stating that reforms will foster sustainable growth prospects, the US-based agency said the government is mid-way through a wide-ranging programme of economic and institutional reforms.

10:41 am: “While a number of important reforms remain at the design phase, Moody’s believes that those implemented to-date will advance the government’s objective of improving the business climate, enhancing productivity, stimulating foreign and domestic investment, and ultimately fostering strong and sustainable growth,” Moody’s said.

10:38 am: The upgrade comes days after India climbed 30 places to rank 100th on the World Bank’s Doing Business Report. The stock market and the rupee reacted positively with a sharp rally today.

10:35 am: Moody’s rating upgrade is a welcome news, L&T MD & CEO tells CNBC-TV18, adding that expect private capex to come from FY19 onwards

10:32 am: “Longer term, India’s growth potential is significantly higher than most other Baa-rated sovereigns,” Moody’s noted.

10:30 am: Moody’s expects GDP growth to moderate to 6.7 per cent in the fiscal year ending in March 2018.

10:28 am: However, as disruption fades, assisted by recent government measures to support SMEs and exporters with GST compliance, real GDP growth will rise to 7.5 per cent next fiscal, with similarly robust levels of growth from FY2019 onward.

10:25 am: WATCH- NITI Aayog Vice Chariman Rajiv Kumar said the Moody’s ratings will have an impact on domestic and foreign investors

10:23 am: Finance Minister Arun Jaitley will address press at 12.30 pm.

10:21 AM: Watch this video

10:18 am: However, Moody’s argued that measures such as the Goods and Services Tax (GST), demonetisation, and others would need time to settle in, and the impact would be witnessed in due course of time. It also claimed that India’s growth potential superseded that of many other sovereign nations.

10:16 am: Other important measures which have yet to reach fruition include planned land and labor market reforms, which rely to a great extent on cooperation with and between the states, Moody’s said.

10:13 am: “Most of these measures will take time for their impact to be seen, and some, such as the GST and demonetisation, have undermined growth over the near term,” the US-based agency added.

10:11 am: In a much-needed thrust to the economy, Moody upgraded India’s sovereign rating to Baa2 from Baa3 and changed the outlook to stable from positive.

10:08 am: Reports suggest that the global rating company said the reforms undertaken by the government would lead to an enhanced business environment, fuelling the foreign and domestic investment, and subsequently the growth momentum

10:06 am: It’s a welcome development but we also feel it was long overdue. It’s a recognition of the actions the govt has undertaken on GST, bankruptcy and all of that: Chief Economic Adviser Arvind Subramanian said on Moody’s upgradation of India’s rating.

10:03 am: Moody’s rating upgrade is a recognition of the work done by the government. The reting should silence the critics of the Narendra Modi goverment, said Rakesh Jhunjhunwala.

10:00 am: Reforms like Goods and Services Tax (GST) will promote productivity by removing barriers to interstate trade.

9:58 am: Also improvements to the monetary policy framework, measures to address the overhang of non-performing loans (NPLs) in the banking system and those like demonetisation, the Aadhaar system of biometric accounts, and targeted delivery of benefits through the Direct Benefit Transfer (DBT) system are intended to reduce informality in the economy.

9:55 am: Watch this video

9:52 am: State Bank of India Chairman Rajnish Kumar said Moody’s rating upgrade proof of India’s structural reforms

9:50 am: Department of Economic Affairs Secretary said the rating is an indication of the work done by the Narendra Modi government in the last 3 years.

9:48 am: State Bank of India, ICICI Bank and Yes Bank are top gainers on NIFTY after Moody’s upgrades credit ratings

9:45 am: Rupee hits over one-week high of 64.63 against Dollar, strengthens 69 paise after Moody’s India sovereign credit rating upgrade

9:43 am: Stating that reforms will foster sustainable growth prospects, the US-based agency said the government is mid-way through a wide-ranging programme of economic and institutional reforms.

9:40 am: “While a number of important reforms remain at the design phase, Moody’s believes that those implemented to-date will advance the government’s objective of improving the business climate, enhancing productivity, stimulating foreign and domestic investment, and ultimately fostering strong and sustainable growth,” Moody’s said.

9:38 am: The reform programme will thus complement the existing “shock-absorbance capacity” provided by India’s strong growth potential and improving global competitiveness, it added.

9:36 am: Nifty opens above 10,330. Sensex strong above 33,500 thanks to Moody’s rating upgrade.

9:33 am: Take a look at Niti Aayog CEO Amitabh Kant’s tweet

9:30 am: Moody’s India Upgrade is recognition of vast number of structural,institutional and procedural reforms made while maintaining fiscal discipline, says Niti Aayog CEO  Amitabh Kant

9:27 am: Buoyed by Moody’s credit rating upgradation, market opens with massive gains.

9:26 am: The global ratings agency, however, cautioned that high debt burden remains a constraint on the country’s credit profile.

9:24 am: “Moody’s believes that the reforms put in place have reduced the risk of a sharp increase in debt, even in potential downside scenarios,” it said.

9:21 am: Moody’s Investors Service upgraded the Government of India’s local and foreign currency issuer ratings to ‘Baa2’ from ‘Baa3’ and changed the outlook on the rating to stable from positive, the statement said.

9:18 am: “The decision to upgrade the ratings is underpinned by Moody’s expectation that continued progress on economic and institutional reforms will, over time, enhance India’s high growth potential and its large and stable financing base for government debt, and will likely contribute to a gradual decline in the general government debt burden over the medium term,” Moody’s said in a statement.

9:15 am: Take a look at Dr Hasmukh Adhia Twitter

9:13 am: On Moody’s upgrade of India’s rating: The path that Government has chosen for long term reforms and fiscal consolidation is well recognised by investors already.  The rating agency too has now confirmed it formally, which is welcome, Revenue Secretary Dr Hasmukh Adhia said.

9:10 am: Market veteran Vallabh Bhanshali said that ratings is not a game changer but sentiment positive, ratings upgrades have symbolic importance.

9:07 am: Take a look at Arvind Subramanian Twitter

9:04 AM: Chief Economic Adviser, Ministry of Finance, Arvind Subramanian said, “Moody’s India rating upgrade. 1. Welcome. 2. Long overdue as our analysis here showed: http://indiabudget.nic.in/es2016-17/echap01.pdf …. 3. Recognition of reforms: GST, bank recap plan, Bankruptcy code & macro-stability. 4. Govt. focus on domestic objectives.”

9:01 am: “The decision to upgrade the ratings is underpinned by Moody’s expectation that continued progress on economic and institutional reforms will, over time, enhance India’s high growth potential and its large and stable financing base for government debt, and will likely contribute to a gradual decline in the general government debt burden over the medium term,” Moody’s said in a statement.

8:59 AM: WATCH- Moody’s has upgraded the credit rating after 2014

8:56 am: US-based Moody’s today upgraded India’s sovereign credit rating by a notch to ‘Baa2’ with a stable outlook citing improved growth prospects driven by economic and institutional reforms.

8:53 am: The rating upgrade comes after a gap of 13 years -Moody’s had last upgraded India’s rating to ‘Baa3’ in 2004. In 2015, the rating outlook was changed to ‘positive’ from ‘stable’.

8:50 am: The ‘Baa3’ rating was the lowest investment grade — just a notch above ‘junk’ status.

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