India Inc credit profile gets boost from steady demand
Credit rating agencies—CareEdge, ICRA, Crisil, and India Ratings (Ind-Ra)—said credit quality remained robust, aided by strong balance sheets, cautious capital allocation, and supportive local conditions.CareEdge’s credit ratio (ratio of upgrades to downgrades) improved to 2.6 times in H1, from 2.4 times in H2 of FY25.
ICRA reported a sharper rise, with a 2.9 ratio, while Crisil stood at 2.2.
Ind-Ra’s downgrade-to-upgrade ratio stayed rangebound at 0.3.
Reaffirmations were broadly steady, with CareEdge and Crisil noting stable shares of portfolios unchanged.
“Corporate India’s strong economic moat, developed since the pandemic, continues to safeguard credit profiles against relentless geopolitical and economic uncertainties,” said Arvind Rao, senior director at Ind-Ra.The pattern of upgrades and downgrades pointed to a two-speed economy.
Infrastructure dominated the upgrades, reflecting Govt-led capex and policy support.
