Circular 12/2024 — Modifies Circular 39/2020

Thursday, November 14, 2024 OFFICIAL GAZETTE 155 BANCO DE MEXICO A logo appears on the margin, stating: Bank of Mexico.- "2024, Year of Felipe Carrillo Puerto, Meritorious of the Proletariat, Revolutionary and Defender of the Mayab". CIRCULAR 12/2024 TO CREDIT INSTITUTIONS, THE NATIONAL FINANCIAL INSTITUTION FOR AGRICULTURAL, RURAL, FORESTRY AND FISHERY DEVELOPMENT, INSURANCE INSTITUTIONS, GUARANTEE INSTITUTIONS, BROKERAGE FIRMS, INVESTMENT FUNDS, INVESTMENT FUND OPERATING COMPANIES, INVESTMENT FUND SHARE DISTRIBUTING COMPANIES, RETIREMENT FUND ADMINISTRATORS, SPECIALIZED INVESTMENT COMPANIES FOR RETIREMENT FUNDS, EXCHANGE COMPANIES, SAVINGS AND LOAN COOPERATIVE SOCIETIES, POPULAR FINANCIAL SOCIETIES, COMMUNITY FINANCIAL SOCIETIES, MULTIPURPOSE FINANCIAL SOCIETIES, GENERAL WAREHOUSES, CREDIT UNIONS, COLLECTIVE FINANCING INSTITUTIONS, ELECTRONIC PAYMENT FUNDS INSTITUTIONS, FINANCIAL ENTITIES ACTING AS TRUSTEES IN TRUSTS THAT GRANT CREDIT, LOANS OR FINANCING TO THE PUBLIC, ECONOMIC PROMOTION TRUSTS, DEVELOPMENT FINANCIAL ENTITIES, AS WELL AS OTHER PERSONS AND TRUSTS WITH RESPECT TO WHICH THE BANK EXERCISES REGULATORY POWERS, INCLUDING CREDIT INFORMATION COMPANIES, COMPANIES THAT PROFESSIONALLY PROVIDE FUND TRANSFER SERVICES, CLEARING HOUSES AND PAYMENT SYSTEM ADMINISTRATORS, IN ACCORDANCE WITH THE RESPECTIVE LAWS:
SUBJECT: MODIFICATIONS TO CIRCULAR 39/2020 (UPDATE OF THE CORRESPONDENCE OF RATINGS GRANTED BY CREDIT RATING AGENCIES). The Bank of Mexico, with the purpose of continuing to promote the sound development and stability of the financial system, considers it convenient to update the correspondence of the rating scales carried out by credit rating agencies, for those cases in the general provisions or resolutions of the Bank itself that refer to a specific degree of rating, in view of the fact that the National Banking and Securities Commission revoked the authorization for the organization and operation of DBRS Ratings México, Credit Rating Agency, S.A. de C.V., as a credit rating agency, without submitting these modifications to public consultation, as this would not be convenient for its purpose, considering that it is only a matter of eliminating the reference to said company. For the above reason, based on articles 28, paragraphs seventh and eighth, of the Political Constitution of the United Mexican States, 24 and 26 of the Bank of Mexico Law, 46 Bis 5, fraction II, 48, 54, fractions I and III, 81, second paragraph, and 96 Bis of the Credit Institutions Law, 176 of the Securities Market Law, 15 of the Investment Funds Law, 48, fraction VI, of the Savings for Retirement Law, 11 Bis 2, fraction XI, and 87-D, fourth paragraph, of the General Law of Auxiliary and Credit Activities Organizations, 132 and 157 of the Insurance and Guarantee Institutions Law, 22 of the Law for the Transparency and Ordering of Financial Services, 1, 4, first paragraph, 8, fourth and eighth paragraphs, 10, first paragraph, 12 Bis, first paragraph, in relation to 20 Quater, fraction IV, 14, first paragraph, in relation to 25 Bis, fraction VII, 14 Bis 1, first paragraph, in relation to 25 Bis 1, fraction IV, 17, fraction I, and 19 Bis, 156 OFFICIAL GAZETTE Thursday, November 14, 2024 fraction V, of the Internal Regulations of the Bank of Mexico, as well as 13, fraction IV, of the Policies for public consultation of the general provisions issued by the Bank of Mexico, which grant it the authority to issue provisions through the General Directorate of Payment Systems and Market Infrastructures, the General Directorate of Financial Stability, the General Directorate of Financial System Affairs, the Central Banking Provisions Directorate and the National Markets Development Management, respectively, as well as Second, fractions I, IV, VI, X and XVII, of the Agreement on the Affiliation of the Administrative Units of the Bank of Mexico, has resolved to modify the Long-Term Global Scale Credit Rating Table, the Long-Term Local Scale Credit Rating Table, the Short-Term Global Scale Credit Rating Table and the Short-Term Local Scale Credit Rating Table, contained in Annexes 1, 2, 3 and 4, respectively, of Circular 39/2020, to remain as follows:
CORRESPONDENCE OF RATINGS GRANTED BY CREDIT RATING AGENCIES “ANNEX 1 Long-Term Global Scale Credit Rating Table Level S&P MOODY’S FITCH HR RATINGS A.M. Best N1 AAA Aaa AAA HR AAA (G) aaa N2 AA+ Aa1 AA+ HR AA+ (G) aa+ N3 AA Aa2 AA HR AA (G) aa N4 AA- Aa3 AA- HR AA- (G) aa- N5 A+ A1 A+ HR A+ (G) a+ N6 A A2 A HR A (G) a N7 A- A3 A- HR A- (G) a- N8 BBB+ Baa1 BBB+ HR BBB+ (G) bbb+ N9 BBB Baa2 BBB HR BBB (G) bbb N10 BBB- Baa3 BBB- HR BBB- (G) bbb- N11 BB+ Ba1 BB+ HR BB+ (G) bb+ N12 BB Ba2 BB HR BB (G) bb N13 BB- Ba3 BB- HR BB- (G) bb- N14 B+ B1 B+ HR B+ (G) b+ N15 B B2 B HR B (G) b N16 B- B3 B- HR B- (G) b- N17 CCC+ Caa1 CCC+ ccc+ N18 CCC Caa2 CCC ccc N19 CCC- Caa3 CCC- ccc- N20 CC Ca CC N21 HR C+ (G) N22 C C HR C (G) N23 HR C- (G) N24 Lower Ratings
ANNEX 2
Long-Term Local Scale Credit Rating Table Level S&P MOODY’S FITCH HR RATINGS VERUM A.M. Best N1mx mxAAA AAA.mx AAA (mex) HR AAA AAA/M aaa.mx N2mx mxAA+ AA+.mx AA+ (mex) HR AA+ AA+/M aa+.mx N3mx mxAA AA.mx AA (mex) HR AA AA/M aa.mx N4mx mxAA- AA-.mx AA- (mex) HR AA- AA-/M aa-.mx N5mx mxA+ A+.mx A+ (mex) HR A+ A+/M a+.mx N6mx mxA A.mx A (mex) HR A A/M a.mx N7mx mxA- A-.mx A- (mex) HR A- A-/M a-.mx

Thursday, November 14, 2024 OFFICIAL GAZETTE 157 N8mx mxBBB+ BBB+.mx BBB+ (mex) HR BBB+ BBB+/M bbb+.mx N9mx mxBBB BBB.mx BBB (mex) HR BBB BBB/M bbb.mx N10mx mxBBB- BBB-.mx BBB- (mex) HR BBB- BBB-/M bbb-.mx N11mx mxBB+ BB+.mx BB+ (mex) HR BB+ BB+/M bb+.mx N12mx mxBB BB.mx BB (mex) HR BB BB/M bb.mx N13mx mxBB- BB-.mx BB- (mex) HR BB- BB-/M bb-.mx N14mx mxB+ B+.mx B+ (mex) HR B+ B+/M b+.mx N15mx mxB B.mx B (mex) HR B B/M b.mx N16mx mxB- B-.mx B- (mex) HR B- B-/M b-.mx N17mx mxCCC+ CCC+.mx CCC+ (mex) ccc+.mx N18mx mxCCC CCC.mx CCC (mex) ccc.mx N19mx mxCCC- CCC-.mx CCC- (mex) ccc-.mx N20mx mxCC CC.mx CC (mex) N21mx HR C+ N22mx mxC C.mx C (mex) HR C C/M N23mx HR C- N24mx Lower Ratings
ANNEX 3
Short-Term Global Scale Credit Rating Table Level S&P MOODY’S FITCH HR RATINGS AM Best N i A-1+ F1+ HR+1 (G) AMB-1+ P-1 A-1 F1 HR1 (G) AMB-1 N ii A-2 P-2 F2 HR2 (G) AMB-2 N iii A-3 P-3 F3 HR3 (G) AMB-3 N iv B B HR4 (G) AMB-4 N v C NP C HR5 (G) N vi Lower Ratings …
ANNEX 4
Short-Term Local Scale Credit Rating Table Level S&P MOODY’S FITCH HR RATINGS VERUM N imx mxA-1+ F1+ (mex) HR+1 1+/M

158 OFFICIAL GAZETTE Thursday, November 14, 2024 ML A-1.mx mxA-1 F1 (mex) HR1 1/M N iimx mxA-2 ML A-2.mx F2 (mex) HR2 2/M N iiimx mxA-3 ML A-3.mx F3 (mex) HR3 3/M N ivmx mxB ML B.mx B (mex) HR4 4/M N vmx mxC ML C.mx C (mex) HR5 D/M N vimx Lower Ratings …” TRANSITORY SINGLE.- This Circular shall enter into force the day following its publication in the Official Gazette of the Federation. Mexico City, November 11, 2024.- BANCO DE MÉXICO: General Director of Payment Systems and Market Infrastructures, Othón Martino Moreno González.- Signature.- General Director of Financial Stability, Fabrizio López Gallo Dey.- Signature.- General Director of Financial System Affairs, José Luis Negrín Muñoz.- Signature.- Director of Central Banking Provisions, María Teresa Muñoz Arámburu.- Signature.- Manager of National Markets Development, Lautaro José Silva Ibarguren.- Signature. For any queries regarding the content of this Circular, the Bank of Mexico is at your disposal through the Directorate of Central Banking Authorizations and Sanctions at telephone (55) 5237-2000 extension 3200.