S&P warning of junk rating a wake-up call, government must act: BJP

NEW DELHI: Describing the downgrade warning by Standard and Poor's as a "wake-up" call, the BJP today rued that the UPA government is still in denial mode about the economic crisis and claimed that this was a result of the governance deficit and differences within the dispensation.

"Standard and Poor's downgrade warning is a wakeup call for India ... Instead of amending and carrying out mid-course correction, the UPA government is as usual in denial mode. The denial won't work as international investors accord much credence to the ratings by the ratings agency," BJP spokesperson Prakash Javadekar said.

He warned that such downgrades will adversely impact the already deteriorating Indian economy. It will make international borrowing costly for Indian companies.