News > Fitch Revises India's Outlook to Negative

Fitch Revises India's Outlook to Negative

Fitch Ratings has revised the Outlook on India's Long-Term Foreign-Currency Issuer Default Rating (IDR) to Negative from Stable and affirmed the rating at 'BBB-'. Fitch expects economic activity to contract by 5% in the fiscal year ending March 2021 (FY21) from the strict lockdown measures imposed since 25 March 2020, before rebounding by 9.5% in FY22.

Some further fiscal spending of up to 1 percentage point of GDP may still be announced in the next few months, although it does not expect a steep rise in spending.