21 December 2020
The ratings published in CRS reports are generated by a rating model comprising qualitative and quantitative indicators.
Methodologies and procedures used to compile CRS credit ratings are consistently applied and fully documented.
To ensure the quality and integrity of its ratings, the EIU keeps full records and audit trails of credit rating activities.
A full description of the methodology is provided in the CRS handbook.
The EIU uses data only from credible and recognised sources. Wherever possible, the EIU uses standardised data across countries.
Methodologies and procedures are reviewed regularly by an Internal Review function which carries out tests to ensure that the current approved rating methodologies are being consistently applied and that the rating methodology is generating robust results.
To avert the risk of potential conflicts of interest, the person responsible for leading the Internal Review Function has no direct involvement in the analysis or rating of countries and does not write or approve any CRS rating reports.
When the EIU changes methodologies, models or key rating assumptions, it notifies subscribers and governments of the changes, in accordance with the EU regulations.