THIS IS AN ONLINE ARCHIVE OF THE 2012 CYPRUS EU PRESIDENCY WEBSITE. THE WEBSITE WILL NO LONGER BE UPDATED.
 

NEWS

Press Release – Cyprus Presidency spearheads agreement on new rules for credit rating agencies
28.11.2012, 09:10 (CET)
The Cyprus Presidency, together with the European Parliament and the European Commission achieved a political agreement on the texts of the Regulation and the Directive related to credit rating agencies. The agreement, reached on November 27, introduces additional rules for credit rating agencies to follow concerning sovereign debt ratings.

The agreed draft Regulation and Directive ensure that financial institutions do not blindly rely on credit ratings for their investments (reducing overreliance), while they further eliminate conflicts of interest with more diversity and stricter independence of credit rating agencies.

The new rules also seek to increase competition, make credit rating agencies more accountable for the ratings they provide and better regulate the issuance of sovereign debt ratings.

The political agreement, which was reached after intensive negotiations led by the Cyprus Presidency since July this year, reconfirms the fact that European institutions are able to cooperate with each other in developing new rules to strengthen the stability of financial markets.

The EU institutions have expressed their satisfaction on the agreement, highlighting its balanced nature and the fact that it takes into account the goals of the institutions participating in the negotiation process.

The agreed Draft Regulation and Directive require official confirmation from the European Parliament and the Council of the European Union.

Presidency Spokesperson in Brussels
Nikos Christodoulides

Coreper II

Email: nchristodoulides@mfa.gov.cy
Telephone: +32 27395152
Mobile: +32 473400441