India is miffed with global rating agencies for its so-called unfair methods that are apparently keeping its ratings below despite its improving economic fundamentals.

But India is equally annoyed by the fact that rating agencies are treating its economic rival 'China' favourably despite its soaring fiscal deficit.      

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"Rating agencies have inconsistent standards," Arvind Subramanian, chief economic adviser at the Finance Ministry, told Indian reporters in New Delhi.

The scathing remark was directly aimed against credible rating agencies like S&P, Moody and Fitch, which have kept India's rating at BBB -, just above the junk level.  India's rating looks even more abysmal when compared with China's superior rating of AA- .

India has made an even sharper observation in its annual economic survey that was released just ahead of Wednesday's annual budget.  

India has a "strong growth trajectory, which coupled with its commitment to fiscal discipline exhibited over the last three years suggests that its deficit and debt ratios are likely to decline significantly over the coming years," it said.  

The survey further compared India's recent economic performance with China as it specifically took note of the Asian giant's surging debt.

It said that in the period between 2009 to 2015, China's debt ratio surged from 142 percent to staggering 205 percent of gross domestic product, slowing down the country's growth rate from more than 10 percent to 6.5 percent.

The survey report then goes on to take a dig at the S&P rating agency for not taking into account China's surging fiscal deficit while giving the rating of AA - to the Asian giant.

S&P so far has not commented on the report. There have not been any comments either from Moody or Fitch. India and China's economic rivalry has intensified over the years, with both Asian countries trying to outwit each other to emerge as economically superior country.

However, China has managed to leapfrog India in most economic parameters, with country growing at double digit growth rate during most part of the last decade.     

TagsIndia, china, Chinese Economy, India and China, Indian and Chinese Economy