Fitch Ratings upgraded India’s long-term foreign currency Issuer Default Rating (IDR) from “Negative” to “Stable,” citing reduced downside risks to medium-term growth.
“Despite near-term headwinds from the global commodity price shock,” it wrote in a note on Friday, “the outlook revision reflects our view that downside risks to medium-term growth have diminished due to India’s rapid economic recovery and easing financial sector weaknesses.”

Fitch has revised India’s GDP growth to 7.8 percent in the current fiscal year, down from 8.5 percent previously forecast. It forecasts India’s growth to be around 7% between FY24 and FY27.