New Delhi, May 8 -- S&P Global Ratings warned that ongoing hostilities between India and Pakistan have heightened credit risks for both countries, though no immediate impact on sovereign credit ratings is expected.

The rating agency, which assigns India a 'BBB-' rating with positive outlook and Pakistan a 'CCC+' with stable outlook, anticipates tensions will remain elevated over the next two to three weeks with the possibility of significant further military actions from both sides.

"The outbreak of hostilities between India and Pakistan has increased regional credit risks, especially for the two sovereigns involved. Our base case is for the intense military actions to be temporary, which will give way to a longer period of contained an...