Moody's: India can afford a slight increase in this year's fiscal deficit

According to Golden Ten Data on June 29, Moody's Ratings stated that India's fiscal deficit this year may exceed expectations, but it will not jeopardize its investment-grade rating, as the rise in energy prices is expected to exert only temporary pressure on the fiscal budget. "We do not believe India will be particularly hard hit, as this shock is generally negative for most sovereign nations," said Christian de Guzman, Senior Vice President at Moody's Ratings in Singapore. Moody's currently assigns India a Baa3 rating, the lowest level within investment grade, with a "stable" outlook.