Moody's cuts India's 2015 growth forecast to around 7%

[MUMBAI] Moody's Investors Service cut its forecast for India's economic growth to around 7 per cent this year from 7.5 per cent because of lower-than-expected rainfalls in the ongoing monsoon season, the ratings agency said on Tuesday.

Moody's maintained its forecast of around 7.5 per cent increase in gross domestic product (GDP) for 2016, but pointed to risks ahead that include delays to the government's reform plans.

Moody's rates India at its lowest investment grade rating of "Baa3" with a "positive" outlook.

REUTERS