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Thursday, December 21, 2023

Rating method needs reform: Finance ministry paper

A paper by the finance ministry's economic division calls for reform in the credit rating process of global agencies like Moody's, Fitch, and Standard & Poor's. The paper highlights the opaqueness and disadvantage faced by developing countries due to the rating methodologies. It criticizes the weighting of foreign ownership of banks and the lack of transparency in selecting experts. The review of the credit rating methodologies of the officials showed that there was considerable reliance on qualitative variables to capture 'willingness to pay'.

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Sri Lanka central bank fines Indian Bank

from Business News: Business News, Business News Today, Latest Business News, Stock Markets, Financial News, India Business & World Bu...