Regulators on guard to stave off a potential sovereign rating downgrade

The Reserve Bank of India (RBI) and the Securities and Exchange Board of India (Sebi) — regulators for the financial sector — along with the finance ministry, have raised their guard to stave off a possible sovereign rating downgrade.

Trimming of India’s sovereign ratings to the lowest investment grade by Moody’s Investors Service has triggered the move.

People in the know said the government has asked senior officials from regulators and the ministry to attend conferences and meetings organised by these global ratings that discuss challenges in the Indian economy, among other issues.
 

A senior bureaucrat privy to the plan