PM Narendra Modi said he is confident of growth of BRICS nations.
The BRICS countries at the Summit in Goa on Sunday agreed to set up a rating agency for emerging markets. The new agency will be aimed at challenging western dominance in the world of credit rating agencies.
"We have agreed to put in place the BRICS rating agency," Prime Minister Narendra Modi said at the BRICS summit.
The five BRICS countries - Brazil, Russia, India, China and South Africa - represent nearly half the world's population and a quarter of its economy, at a combined $16.6 trillion.
Batting for a new credit rating agency backed by BRICS group, New Development Bank (NDB) President K V Kamath had on Saturday said methodologies of the big three global agencies - S&P Global Ratings, Fitch Ratings and Moody's Investors Service - are constraining growth in emerging nations.
Currently, all the three global rating agencies rank India at the lowest investment grade, which is just a notch above junk status
Despite having deep capital buffers, the ratings of multilateral banks like the BRICS-promoted NDB are affected due to the parent countries' sovereign ratings, Mr Kamath had said.
The Indian government has challenged the methodology adopted by global agencies. While pitching for an upgrade in the country's sovereign rating, the Finance Ministry had last month said Moody's has ignored the government's reforms.
At present, all three global rating agencies have the lowest investment grade rating on India.
"We have agreed to put in place the BRICS rating agency," Prime Minister Narendra Modi said at the BRICS summit.
The five BRICS countries - Brazil, Russia, India, China and South Africa - represent nearly half the world's population and a quarter of its economy, at a combined $16.6 trillion.
Batting for a new credit rating agency backed by BRICS group, New Development Bank (NDB) President K V Kamath had on Saturday said methodologies of the big three global agencies - S&P Global Ratings, Fitch Ratings and Moody's Investors Service - are constraining growth in emerging nations.
Currently, all the three global rating agencies rank India at the lowest investment grade, which is just a notch above junk status
Despite having deep capital buffers, the ratings of multilateral banks like the BRICS-promoted NDB are affected due to the parent countries' sovereign ratings, Mr Kamath had said.
The Indian government has challenged the methodology adopted by global agencies. While pitching for an upgrade in the country's sovereign rating, the Finance Ministry had last month said Moody's has ignored the government's reforms.
At present, all three global rating agencies have the lowest investment grade rating on India.
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