S&P may revise India ratings after election

The ratings agency also believes that recent signs of global economic recovery are prompted by government stimulus packages and that another downturn could still be possible, Elena Okorotchenko, S&P's senior director for Asian sovereign ratings, said in an interview.

"Once the new (Indian) government is in place, we will be talking to them in order to understand their additional fiscal measures and how this would reflect on their budget performance and debt burden both in the short and medium-term," she said."Depending on what we learn from this, we may be able to act either by affirming the rating and revising the outlook back to stable or downgrading."

Okorotchenko spoke to Reuters on the sidelines of the Asia Development Bank's annual meeting, held in Indonesia.India's month-long elections are due to finish by the middle of this month and the next government is expected to take office in June.

India's deteriorating finances and swelling budget deficit have been a growing concern for investors, with the current government sharply increasing borrowing to pay for economic stimulus programmes.