Credit Rating Agencies

Centre bats for sovereign rating upgrade in meet with global agencies

S&P and Fitch rate India 'BBB-' and Moody's 'Baa3', all indicative of lowest-possible investment grade, but with stable outlook. These ratings are used to judge country's creditworthiness

Stable cash flows to aid Adani Group's debt commitments: Rating firms

Ind-Ra said there is no immediate impact on the ratings of Adani Group entities, following the recent short-selling report

Sebi tweaks framework on credit rating agencies, asks for detailed policy

Sebi on Friday tweaked its operational circular on credit rating agencies (CRAs), asking them to have a detailed policy by March-end in respect of non-submission of crucial information, including quarterly financial numbers, by the issuers. Also, the detailed policy should contain methodology in respect of assessing the risk of non-availability of information from the issuers, including non-cooperative issuers and the steps to be taken under various scenarios in order to ascertain the status of non-cooperation by the issuer company. Further, CRAs will have to follow a uniform practice of three consecutive months of non-submission of no-default statement (NDS) as a ground for considering migrating the ratings to INC (issuers not cooperating) and need to tag such ratings within 7 days of three consecutive months of non-submission of NDS. The CRA in its judgement may migrate a rating to the INC category before the expiry of three consecutive months of non-receipt of NDS. In its fresh

RBI lists 6 rating agencies for banks' capital adequacy purposes

Central bank's names come after Sebi last year cancelled the licence of Brickworks Ratings for allegedly violating rules

BS BFSI Insight Summit 2022: Sebi member Ashwani Bhatia to speak at event

In the last six months with Sebi, he has delivered crucial orders in matters such as credit rating agencies, commodity brokers, and RTAs, among others

Rating agencies raise red flag: QIP monitoring may hit disclosure wall

Disclosures around utilisation of issue proceeds not as exhaustive as IPOs: Rating agencies

Market regulator Sebi issues guidelines to standardise CRAs' rating scales

The regulator also specified standard descriptors for 'rating watch' and 'rating outlook'

Moody's lowers Vedanta Resources rating to 'B3' implying high credit risk

Persistently weak liquidity, high refinancing needs triggers rating action

Sebi issues guidelines to standardise usage of rating scales used by CRAs

Capital markets regulator Sebi on Monday came out with fresh guidelines in order to standardise the usage of rating scales used by Credit Rating Agencies (CRAs). Issuer rating or corporate credit rating indicates the degree of safety of the issuer or the rated entity with regard to timely servicing of all its debt obligations. Pursuant to the consultation with the CRAs, standardised symbols and their definitions have been devised for issuer rating or corporate credit rating, the Securities and Exchange Board of India (Sebi) said in a circular, adding that the new guidelines will come into force from January 1, 2023. According to Sebi, 'rating outlook' indicates CRA's view on the expected direction of the rating movement in the near to medium term, whereas a 'rating watch' indicates a CRA's view on the expected direction of the rating movement in the short term. CRA will have to assign a rating outlook and disclose the same in the press release. Also, the regulator has specified ...

SAT gives relief to Brickwork Ratings, stays cancellation of licence

But keeps Sebi ban on taking up new clients

Sebi issues framework for dealing with suspension of rating agencies

The regulator has directed CRAs to disclose prominently on their website Sebi's order on suspension or cancellation

MDs, CEOs of ARCs can't have more than 3 terms in office without a cool-off

RBI allows ARCs to bid for assets in IBC cases

'Strongly contest' sovereign credit ratings downgrade by Moody's: Pakistan

Moody's cut Pakistan's sovereign credit rating on Thursday by one notch to Caa1 from B3, citing increased government liquidity and external vulnerability risks in the wake of devastating floods

Sebi cancels certificate of registration granted to Brickwork Ratings

Orders it to wind down operations in six months

Sebi orders Brickwork Ratings to wind down operations in six months

In its order, Sebi highlighted several violations by Brickwork, including that it failed to follow a proper rating process and exercise due diligence while providing ratings

Sebi rolls out framework for credit rating agencies, applicable from Jan'23

Markets regulator Sebi on Wednesday came out with a new framework for credit rating agencies (CRAs), involving ratings of securities having explicit credit enhancement features. The new framework, applicable from January 1, 2023, is aimed at enhancing transparency and improving the rating process, the Securities and Exchange Board of India (Sebi) said in a circular. Under the rule, CRAs can assign the suffix 'CE' (Credit Enhancement) to the rating of instruments having explicit credit enhancement. To enable investors to understand the extent of credit enhancement provided by a third party or parent or group company and support considerations specified by the regulator, including debt backed by a pledge of shares and a letter of comfort, Sebi said that the press release for credit ratings, with or without the CE-suffix, backed by such support considerations need to contain certain disclosures. These disclosures are unsupported ratings without factoring in the explicit credit ...

Sebi directs credit rating agencies to up firewall with non-rating entities

The monitoring of the circular will be required to be done through half-yearly internal audits

Sebi tweaks rules for sharp rating actions, non-cooperating issuers

Sebi comes out with circular with changes, also tweaks policy to deal with non-cooperating issuers

Sebi enhances disclosures requirements for credit rating agencies

Capital markets regulator Sebi on Friday enhanced disclosure rules for credit rating agencies (CRAs) and put in place a framework for rating withdrawal of perpetual debt securities. The move is aimed at allowing investors and other stakeholders to properly use such disclosures in a fair assessment of CRAs, the Securities and Exchange Board of India (Sebi) said in a circular. The new framework will be applicable to credit ratings of securities that are already listed or proposed to be listed on a stock exchange. In order to standardise the methodology pertaining to disclosure of a 'sharp rating action', Sebi said CRAs will have to compare two consecutive rating actions. Further, a CRA will have to disclose a sharp rating action if the rating change between two consecutive rating actions is more than or equal to three notches downward. The regulator has mandated CRAs to frame detailed guidelines on what constitutes non-cooperation by issuers, which includes non-submission of quarte

Rating agencies caught in the crossfire

There are close to 300 triple-A rated companies. Many of them will be downgraded and banks' capital requirements will rise