Russia is planning to launch a rating agency by the end of this year. The Central Bank of Russia (CBR) reported, the initial capital would be around $52 million.
The CBR said today in a statement the following:
… credit rating agencies are one of the most important elements of the financial market infrastructure. Their activities must be stable to various factors, including geopolitical risks.
Russian market needs a strong credit rating agency with a high level of corporate governance and professional competence.
… the new agency will have to meet the interests of the economy and have a good reputation for both Russian and foreign investors.
Ekaterina Trofimova, the vice president of major Russian state-owned bank Gazprombank will head the new institution and stay with Gazprombank despite her new appointment.
“At the initial stage, the agency will work in the Russian domestic market, but plans to gradually enter other markets, firstly the Eurasian Economic Union,” Trofimova said.
There is a number of local rating agencies operating in Russiam however they are not internationally recognized. Here are some names: RusRating, Expert RA, the National rating agency and AK&M.
On Tuesday last week, Vladimir Putin endorsed the activity of ratings agencies in Russia, as a result of discontent over ‘politicized’ actions of S&P, Moody’s and Fitch – the biggest Western agencies recognized also as the “big three”.
The BRICS countries are also planning setting up a rating agency. Again, the agency would become an alternative to the western ‘big three’.