ESMA clarifies endorsement regime for non-EU credit ratings

On 18th July 2018, the European Securities and Markets Authority (ESMA) published supplementary guidance on the application of the endorsement regime for non-EU credit ratings under the Credit Rating Agencies Regulation (CRAR). In order to ensure that third-country credit ratings, which are endorsed for use by EU investors, meet requirements which are at least as stringent as those set out in CRAR, ESMA added a new section to its Guidelines on Endorsement first published in November 2017.

The Guidelines will enter into force on 1 January 2019.