SEBI proposes expanded role for credit rating agencies

Business Jul 10, 2025

SEBI is looking to let credit rating agencies (CRAs) rate a wider range of financial instruments—not just those under its own watch, but also ones regulated by the RBI, IRDA, PFRDA, IFSCA, MCA, and IBBI.
The idea is to make things smoother for the industry and bring unlisted securities into the mix.

What will change if this goes through?

If these changes go through, CRAs would have to follow the rules set by each regulator and keep their different activities separate using "Chinese Walls" (basically, info barriers for independence).
They'll need to update stakeholders ahead of time about what they're doing and send SEBI a compliance report within six months once this kicks off.
It's all about keeping things transparent as CRAs take on bigger roles.