Credit Rating Agencies (CRAs) are an integral component of a vibrant and healthy debt capital market. Credit Rating Agencies (CRAs) are regulated under Section 32B of the Securities and Exchange Ordinance, 1969, the Credit Rating Companies Rules, 1995 and the Code of Conduct for Credit rating Agencies dated January 13, 2014. At present two CRAs are functioning in Pakistan, Pakistan Credit Rating Agency Limited (PACRA) and JCR-VIS Credit Rating Company Limited.
An application for registration by persons meeting the eligibility criteria as mentioned under Rule 3 of the Credit Rating Companies Rules, 1995 (the Rules) shall be made to the Commission in Form ‘I’ along with all the documents specified in Annexures to Form-I of the Rules and receipt evidencing payment of non-refundable fee of such amount Rs. 100,000.
The Commission, while considering the application for registration, may require the applicant to furnish such further information or clarification regarding its activities and businesses as it deems appropriate.
For renewal of its registration, the Credit Rating Company shall, three months prior to the date of expiry of its registration, apply to the Commission in Form ‘III’ providing therewith a receipt evidencing payment of a non-refundable renewal fee of Rs. 250,000.The Commission if satisfied that the applicant continues to meet the requirements for registration and is eligible for renewal of registration shall renew the registration of Credit Rating Company and issue a certificate of renewal of registration to the applicant in Form ‘IV’.