India’s two large corporates -- - Genpact Ltd (Baa3 stable) and UPL Corporation (Baa3 stable) – will be able to retain their current rating, even if country rating is downgraded to “Ba1”, according to Moody’s.

The rating agency in a statement said five Indian companies meet criteria for being rated above the sovereign. They are financially strong and have significant global earnings. The five include Tata Consultancy Services (TCS, Baa1 negative), Infosys (Baa1 negative) and Reliance Industries (RIL, Baa2 negative) are rated above the sovereign.

UPL's globally diversified customer and manufacturing base, and limited reliance on domestic funding sources allow it to be rated one notch above the sovereign. The outlook on company is stable outlook despite the sovereign's negative outlook. UPL will maintain its current ratings even if the sovereign is downgraded to Ba1, all other things remaining the same.

Two information technology majors -- TCS and Infosys -- are rated two notches above the sovereign. The global operations and minimal reliance on domestic funding allow them to be rated above the sovereign.

Their credit profiles and geographical diversification are substantially stronger than Genpact's. Still, Genpact will likely maintain its current rating should the sovereign get downgraded to Ba1.

Even if the Indian sovereign faces potential credit stress or defaults, Genpact is unlikely to face significant operational stress because 80% of its revenue accrues from clients in North America and Europe.

As for Reliance, Moody’s said large scale, diversified business and balanced funding mix allows, it to be rated one notch above the sovereign. Still, RIL's digital services and retail businesses have increased its links to India's economy. Thus it does not meet the criteria to be rated two notches above the sovereign even if its credit metrics warrant such an assessment.

Oil and Natural Gas Corporation's (ONGC, BCA: baa3, Baa3 negative) and Petronet LNG Ltd's (PLL, Baa3 negative) credit quality is also stronger than the sovereign's. But their ratings are capped at Baa3 because of their strong links with the government or other government-owned entities.