The credibility of Indian Economy has been increased from BA-3 to BAA-2 by the International Credit Rating Agency 'Moody's' on November 18, 2017. BAA-3 refers to an economy where investment prospects are considered weak, whereas BAA-2 refers to an economy where investment prospects are high and the economy is considered stable.
Through the International Credit Rating Agency 'Moody's', the Government of India's notebooks, giving additional capital to government banks, making new laws for the recovery of trapped loans (NPAs) and implementing GST have been appreciated.
With the improvement in ratings, Moody's has been included in the list of countries where the interest of investors will be safe. It is known that many times Moody's has criticized the present government's policies.
Moody's has also been praised for the government's move, under which the Aadhaar card has been linked to direct benefit transfer. It is known that by adding the Aadhaar card from direct benefit transfer, the benefit of subsidy has reached the right person and it has helped in eradicating corruption.
Moody's has expressed hope that India's economic growth rate will be 7.5 percent in the current financial year and more in the coming time.
It is notable that the rating of India has been improved by Moody's after almost 13 years. Earlier, during the Atal Bihari Vajpayee government in 2004, Moody's had increased the rating of India by raising the BAA-2 but after sometime in May 2004, the United Progressive Alliance government had reduced rating on arrival.
