Moody’s says India’s worsening water shortage may impact its sovereign credit strength
A prolonged heat wave this year has worsened the shortfall, including in Delhi and the southern tech hub of Bengaluru.
A prolonged heat wave this year has worsened the shortfall, including in Delhi and the southern tech hub of Bengaluru.
On the banking front, the report further said the Indian banking system is on a positive outlook because of good economic growth and healthy corporate credit quality.
The rating agency said the country needs the investment to meet the 500 GW target as coal would remain a key source of electricity generation for the next decade
A combination of weak growth in advanced economies, persistent inflationary pressures, the Russia-Ukraine conflict, tight financial conditions, and a subdued growth outlook for China will create a difficult environment for emerging markets (EM) in 2023, said Moody's Investors Service.
The high food and energy prices will curb economic growth and result in social tensions in 2023 and hence the outlook for sovereign creditworthiness is negative, said Moody's Investors Service on Tuesday.
With gloomy global economic outlook, Moody's Investors Service turned moody on Friday and cut 2022 gross domestic product (GDP) projections for India to 7 per cent and projected 2023 at 4.8 per cent.
Of a select group of 27 middle-income sovereigns that Moody's rates globally, 13, including India and China, are clearly converging to high-income levels, said Moody's Investors Service on Thursday.
According to Moody's, the plan of Asia-Pacific (APAC) insurers to curtail or even cease underwriting and investment exposures to coal or coal-related industries are credit positive, although their coal exposures are generally small.
In its August update to 'Global Macro Outlook 2021-22', Moody's retained India's growth forecast for the 2021 calendar year at 9.6 per cent
Indian economy contracted by 7.3 per cent in fiscal 2020-21 as the country battled the first wave of COVID, as against a 4 per cent growth in 2019-20.
