Regulatory Alerts2007-02-08 | PPB-2007-2-CPBAdded · Updated
Circular PPB-2007-2-CPB: Recognition of External Credit Assessment Institutions (OECI) (Update September 11, 2007)
The CBFA recognizes Fitch Ratings, Standard & Poor’s Ratings Services, and Moody’s Investors Service as eligible External Credit Assessment Institutions (OECI) for use in calculating risk-weighted assets by credit institutions and investment firms. The circular authorizes the use of unsolicited ratings from these three agencies and establishes the specific mapping between their long-term and short-term credit evaluations and the CBFA’s credit quality steps for both the Standardized and Internal Ratings-Based (IRB) approaches, including specific mappings for securitization exposures and collective investment undertakings.