RESOLUTION OF BOARD OF NATIONAL BANK OF THE REPUBLIC OF BELARUS

of August 12, 2019 No. 325

About the organization and implementation of rating activities

Based on paragraphs of the fourth, seventh, tenth and eleventh Item 12 of the Charter of the National Bank of the Republic of Belarus approved by the Presidential decree of the Republic of Belarus of June 13, 2001 No. 320, of part one of article 39 of the Bank code of the Republic of Belarus Board of National Bank of the Republic of Belarus DECIDES:

1. Approve Regulations on procedure for the organization and implementation of rating activities it (is applied).

2. No. 476 is excluded according to the Resolution of Board of National Bank of the Republic of Belarus of 21.12.2023

3. This resolution becomes effective since January 1, 2020.

Approved by the Resolution of Board of National Bank of the Republic of Belarus of August 12, 2019 No. 325

Regulations on procedure for the organization and implementation of rating activities

Chapter 1. General provisions

1. This Provision determines procedure for the organization and implementation in the Republic of Belarus for rating activities, procedure for disclosure of information by rating agency, and also establishes requirements to:

to bodies of rating agency;

to members (founders, shareholders) of rating agency;

to rating analysts;

to the safety and information security received in the course of activities of rating agency.

2. For the purposes of this provision terms are used in the following values:

the leading rating analyst – the rating analyst whose fundamental obligations include interaction with the receiver of credit rating, and also preparation of the report and offers for consideration at meeting of rating committee concerning specific credit rating;

default – inability of the receiver of credit rating to fulfill the undertaken financial liabilities, revealed during assessment or monitoring of subject to rating by rating agency in case of application of methodology;

additional services – services of rating agency which list is specified in the register of rating agencies;

calendar – the list of dates of assignment (review) and the publication of sovereign credit ratings and the rating forecasts relating to them established by rating agency;

the client – the legal entity who signed the contract for implementation of rating actions and (or) the contract for rendering additional services with rating agency;

regulatory authority of rating agency – the body of rating agency created according to article 33 of the Law of the Republic of Belarus of December 9, 1992 No. 2020-XII "About economic societies";

conflict of interest – situation in case of which private interests of the employee of rating agency and (or) aspiration of the employee of rating agency to be guided by interests of rating agency, his participants (shareholders), affiliated, dependent economic societies, and also private interests of his spouse (spouses), close relatives or cousins-in-laws influence or can influence proper execution by the employee of rating agency of obligations when implementing activities for rendering rating services;

credit rating – opinion on capability and readiness of the receiver of credit rating to fulfill the assumed financial liabilities and (or) about credit risk of its separate financial instruments, expressed with use of rating category;

credit risk – risk of emergence of losses because of non-execution, untimely or incomplete execution by the debtor of the financial and other property liabilities following from the agreement and (or) the legislation;

the international rating scale – the rating scale providing possibility of the international comparison of the credit scores assigned by foreign (international) rating agency or rating agency;

methodological committee – the employee group of rating agency (two and more physical persons) performing development and review of each methodology of rating agency;

methodology – the local legal act of rating agency conforming to requirements of the legislation on rating activities based on which the decision on the corresponding rating action is made;

migration of credit rating – change of level of credit rating of subject to rating eventually;

monitoring of subject to rating – action (observation, assessment and the forecast) concerning subject to rating which are performed by rating agency with observance of the conditions defined by the agreement on implementation of rating actions or within actions with not requested credit rating;

the motivated appeal – customer requirement, the receiver of credit rating or the member of rating committee about review of the decision made by rating committee;

national rating scale – the rating scale providing possibility of comparison of the credit scores assigned by rating agency in one country;

not requested credit rating – the credit score assigned to subject to rating, as the initiator of implementation of rating actions on which the rating agency without the conclusion of the contract for implementation of the rating actions and provision of services connected with credit ratings acts;

not requested non-public credit rating – credit rating according to which the following conditions are at the same time satisfied:

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