Global rating agency Standard and Poor's (S&P) expects India's economic growth for the current fiscal year to grow by 6.5 percent, amidst the possibility of global economic recovery continuing during the year.

For China, it expects the growth rate to move back to eight percent level in 2013, after it contracted to 7.4 percent in the third quarter of 2012.

In a report on global credit outlook for 2013, S&P said that the ball was in the policymakers' court to sustain the recovery in global economy.

Noting that there is "not much room for error in the global economy" in 2013, the S&P economists said it had been through a very challenging period in the recent years. This included "the near total collapse of the financial system in 2008 and the very deep global recession that followed at the end of 2008 and the first half of 2009."

"The global economy started recovering in mid-2009, and that recovery at a global level has pretty much continued. We expect it to continue into 2013, but it is a fairly precarious situation."

"Precarious because the recovery process - the healing, de-leveraging, balance sheet recovery, and economic recovery - is still working its way through the system," S&P's Chief Global Economist Paul Sheard said.

S&P expects a "soft landing" in China, which means China was growing at a very rapid pace - sometimes too rapid - after the financial crisis, he said, adding that average year-on-year growth since the third quarter of 2008 had been 8.9 percent though it had ticked down a bit this year. Chinese policymakers needed to rein in an overheating economy.

During the process, the growth has decelerated from 12 percent at one point to 7.4 percent in the third quarter of this year. The deceleration of the Chinese economy is probably bottoming out and growth will probably move back closer toward eight percent entering 2013, he said.

S&P said that it expects rating stability and even some positive trends in the emerging world, while the global growth will also be positive next year at little under three percent.

The rating agency stated that many emerging Asian economies are using their growth productively to strengthen their infrastructure - and thereby increase long-term growth potential - while still maintaining manageable debt burdens.

"So we could see some upgrades in parts of the emerging world," it added, without naming the countries.

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