Communication CBFA_2008_21 Recognition of External Credit Assessment Institutions (ECAIs)

rue du Congrès 12-14 | 1000 Brussels t +32 2 220 53 42| f +32 2 220 54 93 | www.cbfa.be Communication CBFA_2008_21 of 24 November 2008 Recognition of External Credit Assessment Institutions (ECAIs) Scope:
Credit institutions and investment firms.
Summary/Objectives:
Pursuant to Articles V.12 and V.13 of the Regulation on the own funds of credit institutions and investment firms of 17 October 2006, the mapping of credit assessments by the Banque de France is updated. The new mapping is applicable from 1 December 2008. Dear Sir, Dear Madam, Pursuant to Article V.12 of the Regulation on the own funds of credit institutions and investment firms of 17 October 2006, external credit assessments published by ECAIs may only be used by institutions for the calculation of risk-weighted assets when these organizations have been recognized as eligible by the CBFA. This communication updates the correspondence table mentioned in Communication CBFA_2008_04 of 5 February 2008, which acknowledged the recognition of the Banque de France as an ECAI. The modification of the correspondence table concerns credit quality scale 6. The new correspondence table is applicable from 1 December 2008. Pursuant to Article V.13, assessments by the Banque de France are associated with the following credit quality scales:
Standardised Approach:
Long-term Mapping
Credit Quality Scale Rating Banque de France
(upto 30 November 2008)
Rating Banque de France
(from 1 December 2008)
1 3++ to 3+ 3++ to 3+
2 3 4+ 4+
4 4 to 5+ 4 to 5+
5 5 to 6 5 to 6
6 8 to 9 7 to 9

CBFA_2008_21 of 24 November 2008 2 / 2
CBFA rue du Congrès 12-14 | 1000 Brussels t +32 2 220 53 42| f +32 2 220 54 93 | www.cbfa.be This correspondence table applies solely to listed companies based on accounting and financial documentation. Companies with a credit rating of 'X0' are weighted at 100%. Please accept, Sir, Madam, the expression of my best regards. The President, Jean-Paul SERVAIS.