India's Credit Surge: S&P Recognizes Economic Resilience

In a significant boost to India's economic reputation, S&P Global Ratings has elevated the nation's sovereign credit rating to 'BBB' from 'BBB-' with a stable outlook. This upgrade, the first in over 18 years, underscores the robust economic growth, political dedication to fiscal consolidation, and an accommodating monetary policy aimed at controlling inflation.

The Finance Ministry applauded the upgrade, viewing it as validation of India's agile and resilient economy under Prime Minister Narendra Modi's leadership. This commendation comes despite recent tensions with the US, including President Trump's imposition of a steep 50 percent tariff on Indian goods.

As part of its long-term growth strategy, India plans to continue its infrastructure investment drive and reform initiatives, striving towards the ambitious goal of a 'Viksit Bharat' by 2047. The improved credit rating is also anticipated to reduce the borrowing costs for Indian enterprises in international markets, thus enhancing the country's economic competitiveness.

(With inputs from agencies.)