New Delhi: Moody’s Buyers Service on Friday slashed India’s development projection for the present fiscal to (-) 11.5 per cent, from (-) four per cent estimated earlier.
It stated India’s credit score profile is more and more constrained by low development, excessive debt burden and weak monetary system. These dangers have been exacerbated by the coronavirus pandemic.
“Mutually reinforcing dangers from deeper stresses within the financial system and monetary system might result in a extra extreme and extended erosion in fiscal energy, exerting additional strain on the credit score profile,” Moody’s stated whereas projecting an 11.5 per cent contraction in Indian financial system this fiscal.
For 2021-22, it projected the financial system to clock a development of 10.6 per cent.
Moody’s motion follows one other world score company Fitch, which earlier this week, projected a 10.5 per cent contraction in Indian financial system this fiscal. Home businesses Crisil and India Rankings and Analysis have projected contraction of 9 per cent and 11.eight per cent, respectively.