Significant chance of downgrading India's rating - S&P

MUMBAI, Oct 10 (Reuters) - Ratings agency Standard & Poor'swarned on Wednesday about a significant chance of downgradingIndia's credit rating, reiterating its June stance if growthprospects and external position worsen, or fiscal reforms slow.

However, there is a possibility of India's outlook beingrevised back to stable if the government goes ahead with stepsto reduce structural fiscal deficits, improve the investmentclimate, and increase growth prospects, it said in a statement.

S&P had downgraded India's rating outlook to negative fromstable in April.

India has a rating of BBB-, the lowest investment rating inthe so-called BRIC economies.

(Reporting by Neha Dasgupta)


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