Comparative Analysis: Indian vs. International Credit Rating Agencies

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Comparative Analysis: Indian vs. International Credit Rating Agencies
By: - YAGAY andSUN
Corporate Laws / IBC / SEBI
Dated:- 26-4-2025
📊 Comparative Analysis: Indian vs. International Credit Rating Agencies Here's a structured outline for a Comparative Analysis Between Indian and International Credit Rating Agencies - you can use this for a report, presentation, academic p .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... aper, or policy brief. 1️⃣   Introduction * Definition and role of Credit Rating Agencies (CRAs) * Importance in financial markets * Purpose of the comparison: To understand similarities, differences, and strategic implications 2️⃣   Key Players Aspect Indian CRAs International CRAs Leading Agencies CRISIL, ICRA, CARE, India Ratings, Brick .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... work S&P, Moody's, Fitch, DBRS, JCR Year of Origin 1987 (CRISIL) onwards 1860s-1900s Ownership Indian FIs, Banks, Govt-Private mix Global corporations, stock-listed firms 3️⃣   Regulatory Framework Area Indian CRAs International CRAs Regulator SEBI SEC (US), ESMA (EU), IOSCO standards Key Regulation SEBI (CRA) Regulations, 1999 CRA Reform Act (US), EU CRA Re .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... gulation Rating Disclosure Mandatory for public ratings Mandatory globally Surveillance & Review Required periodically Required with detailed audit trail 4️⃣   Scope of Work Function Indian CRAs International CRAs Sovereign Ratings Limited (India only) Global (over 120 countries) Corporate Ratings Yes Yes SME Ratings Actively done Rarely done Structured F .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... inance Moderate High (especially post-2008 reforms) ESG/Green Ratings Emerging Rapidly growing segment 5️⃣   Methodology & Influence Parameter Indian CRAs International CRAs Methodology Largely aligned to international standards Uniform but adapted per region Market Influence High domestically, limited globally Globally influential Transparency Improving Cr .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... iticized post-2008; reforms underway 6️⃣   Challenges Faced Challenge Indian CRAs International CRAs Conflict of Interest Issuer-pays model risk Same model; criticism during 2008 crisis Default Tracking IL&FS, DHFL downgrades questioned Lehman, AIG cases cited Limited Global Reach Outside India influence is low Geopolitical influence often alleged 7️T .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... 19;   Strengths & Weaknesses Criteria Indian CRAs International CRAs Strength Local expertise, SME coverage Global credibility, sovereign reach Weakness Perceived leniency, limited global standing Geopolitical bias, systemic risk contribution 8️⃣   Conclusion & Recommendations * Indian CRAs need: * Better independence & global partnerships * Focus o .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... n methodology, transparency, and post-rating surveillance * Global CRAs must: * Improve neutrality & governance * Include emerging market perspectives * Both systems must be accountable, transparent, and resilient to conflicts of interest. ***
Scholarly articles for knowledge sharing by authors, experts, professionals .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X