The Securities and Exchange Board of India (SEBI) on February 10, 2026, issued a circular regarding the Obligations on CRAs while undertaking rating of financial instruments falling under the purview of any other Financial Sector Regulator.
It is stated that the Regulation 9 (f) of the SEBI (Credit Rating Agencies) Regulation, 1999, allow Credit Rating Agencies to rate financial instruments falling under the purview of any other financial sector regulator.
In cases where a CRA undertakes rating of instruments falling under the purview of any other financial sector regulator or Authority, then the CRA shall comply with the conditions specified as below –
• Separation of Email ids for handling grievances and disclosures on website
• Minimum Net Worth
• Disclosure of activities related information on CRA’s website and advertising/ marketing material related to overall activities of CRA
• Disclosures in rating reports and rating press releases/rating rationale
• Dealing with Client
• Internal Audit Report
The provisions specified under Paragraph 2.1 and 2.5.2 shall come into effect after the expiry of twelve months from the date of issuance of this circular.
The remaining provisions shall come into effect after the expiry of sixty days from the date of issuance of this circular.
[Circular No. SEBI/HO/DDHS/DDHS-PoD-2/I/4685/2026]
