Key Points
Fitch Ratings affirmed India's credit rating at 'BBB-' with a stable outlook, a report by the ratings agency stated on Tuesday..
The rating is supported by a robust medium-term GDP growth forecast and solid external finances, positioning India as one of the fastest-growing nations globally in the coming years...
Fitch emphasized that India's investment landscape is expected to be a key driver of economic growth, citing the continuation of the government's capital expenditure drive and a gradual acceleration of private investment..
"We estimate India's potential GDP growth at 6.2%, underpinned by the government's infrastructure drive, a solid private investment outlook and favourable demographics..
Labour market weakness, partly reflected in low female participation, also poses a risk to the outlook," the rating agency said.. Fitch estimated that the fiscal deficit will remain elevated in FY24..
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