Merkel Favors Reduced Dependence on Rating Companies, FTD Says

German Chancellor Angela Merkel backs a proposal by her Christian Democratic Union’s parliamentary group to take measures to lessen the influence of rating companies on the investment decisions of large institutional investors, Financial Times Deutschland said today.

Changing the rules may force banks and insurance companies to rate the creditworthiness of states themselves, reducing their reliance on credit-rating companies, the newspaper said.

Merkel, speaking after a CDU party conference in the city of Kiel, said it’s worth looking into possible legal changes on the role of rating companies, the newspaper said.

To contact the reporter on this story: Rainer Buergin in Berlin at rbuergin1@bloomberg.net

To contact the editor responsible for this story: James Hertling at jhertling@bloomberg.net

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