New Delhi : After the cowardly terrorist attack in Pahalgam, Kashmir, tension continues between India and neighboring country Pakistan. Meanwhile, India has destroyed 9 terrorist hideouts in Pakistan by conducting Operation Sindoor. In such a situation, rating agency S&P Global has given a statement regarding this on Thursday.

S&P Global has said in its statement that increasing tension between India and Pakistan can also increase the credit risk for both countries. S&P has given India and Pakistan a stable rating of BBB- and CCC+ with a positive outlook.

The rating agency has said that in the current situation it does not see any immediate impact on the sovereign credit rating. It is expected that tensions will remain at a high level for the next 2 to 3 weeks and significant military action can be taken by both sides. S&P Global Ratings has said in a statement that the outbreak of hostility between India and Pakistan has increased regional credit risk, especially for both countries involved. Our basic argument is that strong military action is temporary, which will pave the way for limited and sporadic confrontation for a long time.

Indian forces carried out missile strikes on nine terrorist camps in Pakistan and Pakistan-occupied Kashmir on the intervening night of Tuesday and Wednesday, including a Jaish-e-Mohammed stronghold in Bahawalpur and a Lashkar-e-Taiba terrorist hideout in Muridke. These military strikes were carried out under ‘Operation Sindoor’ in response to the April 22 terrorist attack in Pahalgam, Jammu and Kashmir. 26 innocent Indian civilians lost their lives in the Pahalgam terrorist attack.

Pakistan Prime Minister Shahbaz Sharif has said that his country has every right to give a “befitting reply” to this act of war imposed by India. However, a frustrated Pakistan Defence Minister Khawaja Asif has said that his country is ready to end the tension if India calms down the situation.

Rating agency S&P Global said it expects India to maintain strong economic growth to continue gradual fiscal reforms. The Pakistan government will also remain focused on restoring its economy and supporting fiscal stability. India and Pakistan do not see any basis to continue the current tension for a long time. Last week, the rating agency had reduced India’s growth rate forecast for the financial year 2025-26 from 6.5 percent to 6.3 percent, citing uncertainty over US trade policy.