Home » News » Finance » ‘Bank ratings do not represent SBP’s sanction’: SBP

‘Bank ratings do not represent SBP’s sanction’: SBP

KARACHI: The State Bank of Pakistan (SBP) while disclaiming its official role connection and the findings of the credit ratings of the commercial banks and DFIs of the country by two credit rating agencies of the country said:

“These ratings represent the opinions of respective rating agencies and do not reflect the views of the SBP”.

The SBP in June 2001 made it mandatory for all commercial banks and financial institutions to get rated by a credit rating agency of their choice, after which the Banking Policy Department of the SBP widely circulated the rating list of all commercial banks to the trade bodies of the private sector.

Subsequently, the list was listed on the website of the central bank too.

Sources said that the BPD has now come up with its new stand with regard to credit rating of the banks and financial institutions.

Sources said that the BPD in its new policy stand entitled as consolidated position on credit rating of banks and the DFIs said:

“Credit rating is an independent opinion expressed by the professional bodies, that is credit rating agencies that states about the capacity of an entity to meet its obligations and is based on various quantitative factors.

SBP said these ratings therefore represent the opinions of respective rating agencies and do not reflect the views of the SBP”.

Leave a Reply