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How Congress changed its tune on Moody's ratings in 3 years

After ratings agency Moody’s downgraded India’s sovereign rating from Baa2 to Baa3, Congress leader Rahul Gandhi on Tuesday took to Twitter and lashed out at the Modi government.

Rahul Gandhi had voiced concern over the state of India's economy, saying global rating agency Moody's has termed its handling by Prime Minister Narendra Modi 'a step above junk'. 'Moody's has rated Modi's handling of India's economy a step above ‘JUNK’. Lack of support to the poor and the MSME sector means the worst is yet to come,' he tweeted.

This support of Moody’s view on the Indian economy is a complete U-turn by the Congress from the time it had blasted the global rating agency for upgrading India’s sovereign rating back in 2017.

In 2017, when Moody’s upgraded India’s sovereign rating to Baa2 from Baa3, the Congress had questioned the credibility of the same agency.

"The country does not run on such surveys and neither the people of this country being strayed by all this. Firstly, there is no reliability of company (Moody’s) which conducted these surveys. Prime Minister Modi and the Bharatiya Janata Party have conducted the survey by an American company and claim that everything is fine," Congress leader Anand Sharma had said to news agency ANI then.

Now that the agency has downgraded India, the Congress party seems quite happy to agree with Moody’s.

On Tuesday, Rahul Gandhi said the lack of support to the poor and small and medium industry indicates that the worst is yet to come.

'Baa3' rating is the lowest investment grade -- just a notch above 'junk' status. Moody's had last downgraded India's rating in 1998. (With inputs from PTI)