Moody’s Investors Service (Moody’s) has decided to withdraw national scale ratings (NSRs) assigned by its joint venture in Russia, Moody’s Interfax Rating Agency (MIRA). The business of MIRA will be closed following the withdrawal of its NSRs.
This decision was taken in light of legislative changes and other potential restrictions applicable to the business of providing NSRs in Russia and notably the expected requirements regarding structural and operational independence which would limit MIRA’s ability to make use of Moody’s global resources.
MIRA’s NSRs (which number approximately 150) will be withdrawn in the course of 2016. NSRs are opinions of the relative creditworthiness of issuers and financial obligations within a particular country.
Moody’s global scale ratings (GSRs) are unaffected by the decision to close MIRA’s NSR business. GSRs provide a globally-comparable opinion of the relative creditworthiness of issuers and financial obligations, and the large majority of MIRA’s NSR customers also have a Moody’s-issued global scale rating.
Moody’s remains committed to retaining its strong local presence in Russia and will continue to provide Global Scale Ratings to customers in Russia and in other countries in the region. Moody’s rates over 250 issuers across Russia, Kazakhstan, Azerbaijan, Uzbekistan, Tajikistan, Armenia, Ukraine and Belarus.
Moody’s and Interfax have enjoyed a productive 12 year partnership servicing customers in Russia and the wider region through their MIRA joint venture. Moody’s has held a 51% majority stake in MIRA since 2004, with Interfax retaining the remaining 49%. Moody’s and Interfax will explore opportunities to continue working together in the future.
ABOUT MIRA: Moody’s Interfax Rating Agency (MIRA) specializes in credit risk analysis in Russia. MIRA is a joint-venture between Moody’s Investors Service, a leading provider of credit ratings, research and analysis covering debt instruments and securities in the global capital markets, and the Interfax Information Services Group. MIRA was founded in 1997, as Interfax Rating Agency, and was the first national rating agency in Russia
Source: Moody’s Press Release
BIIA reported previously on regulatory changes in Russia: https://2018.biia.com/russian-federation-new-regulations-for-credit-rating-agencies