Rupee weakness affects India’s credit profile, says Moody's

Rupee weakness affects India’s credit profile, says Moody's Zee Media Bureau

Mumbai: Rating agency Moody’s on Friday said that the weakening rupee reflects domestic economic challenges although it casts no significant impact on India's foreign debt repayment capacity, a news wire has reported.

"Given the very low level of foreign currency debt owed by the Indian government, rupee depreciation does not significantly affect sovereign debt repayment capacity," the wire quoting a Moody’s official said.

The rupee trimmed its early losses on Friday, but was still quoted lower by 8 paise to 59.65 per dollar on demand of the US currency from banks and importers triggered by its higher value overseas.

With Agency Inputs