Japan’s R&I upgrades India

This is the third such upgrade of India by a sovereign credit rating agency this year, following S&P’s upgrade to ‘BBB’ (from BBB-) in August 2025 and Morningstar DBRS’ upgrade to ‘BBB’ (from BBB (low))

- 

Japan's Rating and Investment Information, Inc (R&I) Friday upgraded India’s Foreign Currency Issuer Rating from BBB to BBB+ with a stable outlook, citing strong domestic demand, fiscal discipline, and improved external stability.

The agency affirmed the country’s foreign currency short-term debt rating at a-2.

This is the third such upgrade by a sovereign credit rating agency this year, following S&P’s upgrade to ‘BBB’ (from BBB.) in August 2025 and Morningstar DBRS’ upgrade to ‘BBB’ in May 2025.

R&I said India’s large economy, currently in its demographic dividend phase, is expected to sustain firm growth despite global uncertainties.

In FY2024, real GDP expanded 6.5%, supported by consumption, investment, and external demand. Growth remained strong in April-June 2025 at 7.8%. For FY2025, the Reserve Bank of India projects GDP growth at 6.5%.