India can weather turbulence without damage to credit ratings: S&P

India and other key nations in the Asia Pacific have strong balance sheets to weather current account deficits without hurting their external ratings, said Standard and Poor’s (S&P) on Thursday.

India is likely to lead the region with 7.3 per cent growth in 2022-23 after the GDP grew 8.7 per cent in 2021-22, said the rating agency in a report called 'Asia-Pacific Sovereign Rating Trends Midyear 2022: Resilience Amid Turbulence'. India’s sovereign rating is “BBB-/Stable /A-3”.

S&P’s commentary in March said the stable outlook for India reflected expectations that the economy will recover from the effects of the Covid-19 pandemic.