DBRS Updates Criteria for Applying Sovereign Ratings to Government-Related Enterprises

DBRS has today released an update to its criteria explaining the approach that DBRS takes in applying sovereign ratings to enterprises which are guaranteed by or closely affiliated with the sovereign. This criteria provides market participants with insight into the rationale behind DBRS’s rating opinions in a transparent manner. The criteria was originally published on April 16, 2015.

Minor changes have been made to the text to provide greater clarity, particularly with regard to the government’s capacity to provide support. These changes will not have any impact on existing credit ratings.

The new criteria is The Link between Sovereign Ratings and Government Related Entities. DBRS criteria and methodologies are publicly available on its website www.dbrs.com under Methodologies.

For more information on sovereign credits or on this industry, visit www.dbrs.com or contact us at info@dbrs.com.