A financial industry watchdog has approved Metropol Corporation Ltd as the third credit rating agency.
Metropol is the first Kenyan firm to receive the agency licence, with the other two approved rating firms in Kenya being Global Credit Rating Company (GCR) of South Africa and Nigeria’s Agusto and Company Limited.
“Metropol Corporation Ltd intends to focus on providing credit ratings to SMEs to increase their potential to access money diversified capital sources,” said Capital Markets Authority (CMA) in a statement.
In 2011, Metropol had received a licence to operate a reference bureau that assesses the credit worthiness of individuals. Banks refer to the data when issuing loans to customers and have so far listed 3.6 million for positive and negative reasons.
With its new licence the firm will now also assess and evaluate the creditworthiness of companies issuing securities and assign ratings to such securities.
Metropol was originally established in Kenya in 1996, and has since 2007 been partnering with GCR, whom it was representing when performing ratings of East African companies.
CMA said the licence was issued after Metropol complied with the guidelines on registration of Credit Rating Agencies in Kenya.