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CareEdge Global IFSC, a subsidiary of CARE Ratings, has assigned a BBB+ rating to India, reflecting the country’s strong post-pandemic recovery and its focus on infrastructure investments. CareEdge Global’s assessment highlights India’s resilient economic performance, projecting GDP growth in the range of 6.5-7 per cent in the coming years.

According to it, India’s general government debt is expected to gradually decrease to 78 per cent of GDP by FY30 and further to 73.5 per cent by FY35, driven by healthy nominal GDP growth. However, it noted that India’s elevated government debt levels and weak debt affordability remain key credit constraints. Further, CareEdge Global IFSC has launched its Sovereign Ratings for 39 countries, marking its entry into the Global Scale Ratings space. According to it, with this launch, it has become the first Indian credit rating agency to assess global economies, providing long-term foreign currency (LTFC) ratings. 

Mehul Pandya, Managing Director & Group CEO of CareEdge, said, ‘This is a significant milestone for us in our journey towards becoming a global knowledge-based institution. As India’s economic influence grows, it is both timely and appropriate for an Indian company to enter this domain.’ Further, he said, ‘We are convinced that it is very important to have transparency in methodology of sovereign ratings, particularly in assessing the growth potential and investment needs of economies. This reflects in the ratings assigned by us.’

In addition to India, CareEdge Global has assigned ratings to 38 other countries. Top-rated countries include Germany, the Netherlands, Singapore, and Sweden, all rated AAA. Other highly rated nations include Australia, Canada, and the USA with AA+ ratings. Several other major economies like France, Japan, and the UK received AA- ratings, while China was assigned an A rating. The BBB+ rating category, where India stands, also includes countries like Botswana and the Philippines.