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10 January 2007

Commission welcomes CESR report on credit rating agencies





The Commission welcomed the CESR report on the extent to which credit rating agencies comply with the IOSCO Code. The report concludes that the main CRAs generally comply with the Code, but also identifies various deviations.

The Commission concluded in its Communication that no new legislative initiatives were needed since the existing securities Directives cover adequately the most important aspects related to their activity. The Commission asked CESR to monitor compliance with the IOSCO Code and report back to it on an annual basis.

The Commission believes that CRAs will need to continue their efforts to comply with all the Code's provisions, and the Commission will be pushing for improvements in these areas of CRAs' activities, where shortcomings have been identified. The Commission will continue to monitor developments in this area and, in particular, the impact of the new US Act on CRAs which will be operational by next summer.

Press release
Report


© European Commission


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