The criteria specified are objectivity in assessment methodology, independence from pressures, transparency, adequate disclosures, sufficient resources for high quality credit assessments and credibility. India has four rating agencies of which three are owned partly/wholly by international rating agencies. Compared to developing countries, the extent of rating penetration has been increasing every year and a large number of capital issues of companies has been rated.
The chairperson should be appointed in a personal capacity for a period of time which is adequate to ensure continuity in the work of the Forum. Experience would seem to indicate a term of not less than three years. I would like to suggest the appointment of Mr Andrew Crockett, General Manager of the BIS, for a term of three years.