Rating Firms Seek to Withdraw Nearly Half of India Debt Ratings
- Seeking to revoke ratings when issuers don’t give information
- 47% of credit ratings fall into non-cooperation category
An employee wearing a protective face shield and mask sews a section of an Indian national flag at a workshop in Mumbai, India.
Photographer: Dhiraj Singh/BloombergThis article is for subscribers only.
Rating firms in India are seeking to withdraw credit scores where issuers don’t provide enough information to support their assessments in a move that could potentially affect nearly half the country’s ratings.
The current situation means that ratings don’t fully reflect the credit health of issuers, according to a document from major raters submitted to India’s central bank Wednesday and seen by Bloomberg. That underscores challenges for a country mired in a credit crisis triggered by the 2018 default of a top-rated shadow lender.