CRA Technical Committee
CHAIR : Verena ROSS, Executive Director of ESMA
RAPPORTEUR : Stephen Hynes
On 7 December 2009, the EU Regulation 1060/09 on Credit Rating Agencies (CRAs) entered into effect. Following the announcement of the creation of ESMA, the CRA Regulation was revised in May 2011 with a view to entrust ESMA with an exclusive responsibility for the registration and supervision of credit rating agencies in the European Union. According to the Regulation, ESMA is also required to draft Regulatory Technical Standards alongside its traditional role of promoting convergence through Level 3 guidelines and recommendations. Furthermore, the Regulation mandates ESMA to maintain a central repository where information on the past performances of CRAs and information about credit ratings issued in the past are to be kept and made public.
Chaired by the Executive Director of ESMA, the Technical committee has been established to assist in preparing ESMA for these new tasks relating to CRAs. In order to fulfil its objectives, the Technical Committee has responsibility for:
• Providing advice on policy decisions regarding CRAs to ESMA staff, to the Board of Supervisors or to any other relevant internal committee or panel established under Article 41(1) of ESMA Regulation.
• Providing advice regarding decisions in the area of CRAs that refer mainly to:
o the assessment of whether a third country regime includes requirements “as stringent as” those set out in Articles 6 to 12 of the CRA Regulation;
o the establishment of cooperation arrangements with third country regulators;
o technical advice to the Commission, the draft technical standards and guidelines and recommendations concerning policy in the area of CRAs;
o policy or supervisory issue that may have wider implications on which advice is requested.
Any correspondence regarding the work of this Standing Committee should be sent to the ESMA Staff, at cra[at]esma.europa.eu