JOIN USThe perceived notion about growing corruption and the policy uncertainties have increased the country-specific credit quality risks for the companies in India, global rating agency S&P has warned.
As per Standard and Poor’s (S&), the country-specific risks have increased in India in the past two years, making it harder for the companies to manage their cash flows, make their long-term strategies, and proceed with investment plans.
“In India, the government is engaging with the industry to address policy issues, but we have yet to see any significant positive actions,” it added.
However, the creditworthiness of large companies in India and other parts of South Asia is strong enough to withstand the impact of demand slowdown, rising costs and other country-specific risks.