Moody's ups India's rating

The upgrade of the government bond local currency rating to Ba1 from Ba2 is still a notch below investment grade, but will improve investors’ faith in the Indian economy.

Meanwhile, the ratings agency retained India’s foreign currency rating at Baa3, which is the lowest investment grade.

Moody’s said the outlook on the local currency rating remains positive, while the outlook on the foreign currency sovereign rating remains stable.