INTERNATIONAL RATING AS A CREDITWORTHINESS MEASURE OF A STATE

Jolanta Ciak, Rafał Płókarz

DOI: http://dx.doi.org/10.12775/TIS.2016.010

Abstract


Credit rating agencies play an important role in the world due to the fact that rating has become a reliable indicator of the evaluation of a debt investment. A reliable agency that is globally recognised ought to be independent, objective, professional, ethical and substantive. Rating itself constitutes an opinion that concerns the possibility of servicing of payment obligations made by a given entity. It is also frequently defined as an independent and objective evaluation of credit risk of a given entity wishing to contract a debt. Rating is a dynamic category concerning the future, therefore each forecast is surrounded by uncertainty. Ratings of individual agencies may differ considerably. The aim of the article is to discuss the role of international rating as a credibility measure of a state, the role of credit rating agencies, of the rules of rating and of the level of rating for the countries of the European Union, especially given the fact that rating for a country is reflected in its credibility and attractiveness.

Keywords


credit rating agencies; “Big Three”; international rating; rating; the European Rating Platform

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References


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Declaration of the original version: the original version of the Torun International Studies is the electronic version.

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