Fitch, the global rating agency has maintained India’s growth forecast for India at 7.5 % for this fiscal ( 2015-2016 ) and also sees higher growth around 7.7 % & 7.9 % over the next two financial years. However, 8 per cent growth will remain elusive in the short term. The GDP growth in the first three quarters of this fiscal stands at 7.6%, 7.7% and 7.3%.
The growth rate for the April-June quarter was revised sharply upward from a provisional 7% to to 7.7%, which has driven up the projections for the entire 2015-16 fiscal. Despite a slowdown in the third quarter, India’s economic growth still outpaced China’s 6.8% for the same period. Fitch also pitched for monetary policy easing.
Fitch expects another 25 bps of monetary policy loosening, facilitated by the government’s recent announcement to maintain its fiscal targets for 2016-17 and 2017-18.
Fitch Ratings Inc. is one of the three nationally recognized statistical rating organizations (NRSRO) designated by the U.S. Securities and Exchange Commission in 1975, together with Moody’s and Standard & Poor’s, and the three are commonly known as the “Big Three credit rating agencies”. Fitch Ratings is dual-headquartered in New York, USA, and London, UK.
Fitch is a jointly owned subsidiary of Hearst Corporation and FIMALAC SA. Fitch Learning is a financial services training and development firm. Previously named 7city Learning, it was acquired by Fitch Group in January 2013. Fitch Ratings’ long-term credit ratings are assigned on an alphabetic scale from ‘AAA’ to ‘D’, first introduced in 1924 and later adopted and licensed by S&P.
So now lets discuss some questions related to this post which can be asked in the upcoming exams :
1. Which rating agency has maintained India’s growth forecast at 7.5 % for 2015-16 ?
2. Expand the term NRSRO ?
3. Headquarter of Fitch is located in which country ?
Courtesy : Hindu Business Line