Mumbai, March 3, 2011: SME Rating Agency of India Ltd., a dedicated rating agency for the MSME sector in India, has been registered under Securities and Exchange Board of India (Credit Rating Agencies) Regulations, 1999. SMERA is the 1st and only rating agency in the MSME space that is dedicated to increase the credit flow to the MSME sector. The Mumbai-based agency was incorporated in August 2005 and is promoted by SIDBI, Dun & Bradstreet and other leading banks in India.
The SEBI registration makes SMERA, only the sixth rating agency in India to rate issues related to capital market. SEBI registration has paved way for SMERA to rate the capital market instruments, such as, IPO, Bonds, Commercial Papers, Security Receipts and others. The SEBI registration bestows higher credibility and acceptance for SMERA in the market.
Speaking on this development, Mr. Parag Patki, CEO, SMERA said, “Considering the high level of consistent GDP growth expected from the economy to provide sustenance to its expanding needs, it is natural that part of this responsibility will fall on the MSME sector. However, there are fears that the MSME sector will not be capable to fulfill this role due to limited access to capital for investing in capacity expansion or diversification. Keeping in view this limitation and capacity constrain within the rating industry, SEBI registration to SMERA is timely and opportune”. “SMERA is committed to improve the rating penetration in the country for the systematic development of the capital market. SMERA Ratings would assist the Indian investors make suitable investment decisions for their risk profile”, he added.
About SME Rating Agency of India Ltd:
SME Rating Agency of India Ltd (SMERA), the dedicated rating agency for MSME sector in India was formally launched at the hands of the then Union Finance Minister, Shri P. Chidambaram, at a ceremony at Coimbatore on 5th September 2005. SMERA has been set up by Small Industries Development Bank of India (SIDBI) in association with Dun & Bradstreet (D&B) and leading public and private sector banks. SMERA is the country’s first rating agency that focuses primarily on the Indian MSME segment. SMERA’s primary objective is to provide ratings that are comprehensive, transparent and reliable. This would facilitate greater and easier flow of credit from the banking sector to MSMEs.SMERA is driven by institutions that are leaders in their respective spheres of activity. Source: SMERA Press Release