The services sector is not only the dominant sector in India’s GDP, but has also attracted significant foreign investment flows, contributed significantly to exports as well as provided large-scale employment. India’s services sector covers a wide variety of activities such as trade, hotel & restaurants, transport, storage and communication, real estate, business services, community, social & personal services.
BUSINESS RISK PROFILE
Each of these key determinants are not exhaustive by themselves, but enables to understand the rating considerations that are most important. The credit ratings assigned by Infomerics are a symbolic representation of its opinion on the relative credit risk associated with the instrument being rated. This opinion is arrived at following a detailed evaluation of all the aforesaid factors with major emphasise on issuer‘s business and financial risks, its competitive strengths, its likely cash flows over the life of the instrument being rated and the adequacy of such cash flows vis-à-vis its debt servicing obligations.