Newsletter Jan 2007: Ratings agencies mostly complying with good codes

PARIS – The first report on whether the major credit rating agencies in Europe are meeting the international code of conduct for their industry has given the agencies fairly good marks. Last year, the European Commission, in Brussels, decided that it would not regulate the credit rating agencies (CRAs) operating in the EU – at least for the time being. Instead, it would give them a chance to demonstrate that they would comply with a code of business conduct developed by the International Organistion of Securities Commissions (IOSCO), the Madrid-based body representing over 100 securities regulators around the world.