International credit rating agency Standard & Poors has reaffirmed Indias BB+ standing, but changed its outlook from positive to stable.
The revised outlook reflects reduced prospects for an upgrade in the near future, the New York-based agency said, warning that the absence of substantial fiscal correction could make any further improvement in growth an elusive goal.
S&P pointed to high levels of public sector borrowing as the main obstacle for the countrys financial sector. However, India retained its BB+ rating because of its continuing economic reforms, steadily declining debt burden and comfortable external liquidity position.
