CURRENT AFFAIRS

Detailed explanation-1: -Moody’s Investor Service showed its confidence in Indian Prime Minister Narendra Modi’s policy reforms when it raised the country’s local and foreign currency debt ratings for first time since 2004, to Baa2 from Baa3, and changed its outlook to stable from positive.

Detailed explanation-2: -Standard & Poor’s credit rating for India stands at BBB-with stable outlook. Moody’s credit rating for India was last set at Baa3 with stable outlook.

Detailed explanation-3: -Moody’s could upgrade the ratings by up to three notches if Bumi repays all its debt that was due to mature in December 2022, and if its growth plans and financial policies will not subsequently strain its capital structure and expose it to further liquidity or refinancing risk.

Detailed explanation-4: -William Foster, vice president-Sovereign Risk Group of Moody’s, told a TV channel that the outlook was changed to indicate that the economic recovery was getting entrenched.