Moody’s affirms India’s sovereign rating at ‘Baa3’

Moody’s Ratings affirmed India’s sovereign rating at Baa3 with a stable outlook, citing its fast-growing economy and sound external position. India is projected to remain the fastest-growing G20 economy, with 6.5% growth in FY25-26. While US tariffs pose long-term risks, other US policy shifts are not expected to significantly impact India’s current account.