FSB has published some principles that will reduce reliance on Credit Rating Agency (CRA) ratings in standards, laws and regulations. The principles cover:

  • requiring regulators to assess references to CRA ratings and remove them wherever possible or replace them with suitable alternative standards of creditworthiness;
  • designing regulation so banks and other market participants are expected to make their own credit assessments and not just rely on ratings; and
  • a set of recommendations for specific activities, covering central bank operations, prudential supervision of banks (large and small), internal limits and investment policies of investment managers and institutional investors, private sector margin agreements, and issuer disclosure.