Now Fitch officials in Delhi. Is another downgrade threat looming?

Fitch Ratings agency officials are now in New Delhi to take stock of the economy, Reuters has reported. Unfortunately, the Fitch officials are meeting Finance Ministry officials at a time when the rupee has touched a historic low.

Of course, our finance ministry officials are going to convince Fitch to upgrade our ratings – on what economic parameters an upgrade will happen, only Finance Ministry officials can tell.

Earlier this year, finance Ministry Officials tried to convince Standard & Poor's to upgrade India's ratings. However, they gave a patient hearing to our officials and than issued a statement a few weeks later, downgrading India's outlook to negative from stable, citing poor fiscal health and deteriorating economic indicators.

In fact, S&P even said that there was one in three chance of India's rating getting downgraded. In the best interest of the country, we hope Fitch does not do something similar, though an upgrade with all of the deficits and the falling rupee look a remote possibility.

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