Codes of Conduct

Sr#Title DateView
1Code of Conduct | BoD Jun-2010
2Code of Conduct | Employee Feb-2015
3Code of Conduct | Employee | Certification Jul-2015

Compliance Report

PACRA has adopted a thorough strategy to comply with the Code. As PACRA sees it, the Code requirements encompass the following key dimensions: (i) executional practices / procedures at CRA, (ii) policies / criteria / methodologies governing formation of rating opinions, and (iii) disclosures.

As per (i), PACRA is fully compliant and all internal processes have been aligned to what the Code requires barring few exceptions that are requested from SECP. As per (ii), all requisite policies / criteria / methodologies are published. For (iii), we have ensured compliance through extended disclosure at our website. In case of disclosure related to rating opinions, PACRA has identified a cut-off date of June 30, 2014. Hence, it will be furnishing requisite information as and when any new opinion is assigned / updated beginning July 01, 2014.

A clause-by-clause Compliance Status Report has been prepared by PACRA.

Sr#Title DateView
1Annual Compliance Report | SECP Code of Conduct For CRAs Sep-2014
2Annual Compliance Report | SECP Rules For CRAs Sep-2014

Rating Definitions and Symbols

Sr#Title DateView
1Scale & Definitions | Asset Manager Rating Dec-2017
2Scale & Definitions | Broker Management Rating Dec-2017
3Scale & Definitions | Capital Protection Rating Dec-2017
4Scale & Definitions | Debt Instrument Rating Dec-2017
5Scale & Definitions | Entity Credit Rating Dec-2017
6Scale & Definitions | Fund Performance Ranking Dec-2017
7Scale & Definitions | Fund Stability Rating Dec-2017
8Scale & Definitions | Insurer Financial Strength (IFS) Rating Dec-2017
9Scale & Definitions | Long Term and Short Term Rating Relationship Dec-2017
10Scale & Definitions | Preference Shares Rating Dec-2017
11Scale & Definitions | Rating Modifiers Dec-2017
12Scale & Definitions | Real Estate Project Grading Dec-2017
13Scale & Definitions | Security Agency Grading Dec-2017
14Scale & Definitions | Structured Finance Rating Dec-2017


Sr#Title DateView
1Methodology | Asset Manager Rating May-2017
2Methodology | Bank Rating Jun-2017
3Methodology | Broker Management Rating Sep-2017
4Methodology | Capital Protection Rating Mar-2017
5Methodology | Corporates Jul-2017
6Methodology | Debt Instrument Jun-2017
7Methodology | Fund Stability Rating Jun-2017
8Methodology | Holding Companies Jun-2017
9Methodology | Independent Power Producers (IPP) May-2017
10Methodology | Insurer Financial Strength (IFS) Rating | General Jun-2017
11Methodology | Insurer Financial Strength (IFS) Rating | Life Jun-2017
12Methodology | MicroFinance Institutions Jun-2017
13Methodology | Mutual Fund Ranking Jun-2017
14Methodology | Non-Banking Finance Companies Jan-2017
15Methodology | Preference Shares Rating Jun-2017
16Methodology | Ratings Transition Jan-2018
17Methodology | Real Estate Project Grading Jun-2017
18Methodology | Recognition of Default Jan-2018
19Methodology | Securities Broker Mar-2017
20Methodology | Security Agency Grading Jun-2017
21Methodology | Structured Finance Instruments Rating Jun-2017
22Methodology | Sukuk Rating Jun-2017
23Rating Modifiers Jun-2017
24Relationship | Long Term and Short Term Rating Scale Jun-2017


Sr#Title DateView
1Policy | Announcement of Rating Sep-2017
2Policy | Anti-Fraud, Bribery and Corruption Sep-2014
3Policy | Criteria Group Jun-2016
4Policy | Investment and Trading in Securities Sep-2017
5Policy | Rating Fee Sep-2017
6Policy | Review of Credit Ratings Sep-2017
7Policy | Rotation of Analyst Sep-2017
8Policy | Solicited, Un-Solicited and Private Credit Rating Sep-2017
9Policy | Treatment of Confidential Information Sep-2017
10Policy | Whistleblower Sep-2017
11Policy | Withdrawal and Suspension of Ratings Sep-2017

Rating Transitions/Movements

Sr#Title DateView
1Private Ratings | Movement Jun-2016
2Rating Transition Study | FY05-FY14 Feb-2015
3Rating Transition Study | FY06-FY15 Apr-2016
4Rating Transition Study | FY07-FY17 Jan-2018
5Switch Report | Rating Movement between two CRAs Jun-2016
6Transition to Default Studies Jun-2014

Industry Specific Studies

Industry analysis is a key component of credit rating process, as entities do not operate in a vacuum. Economic environment, regulatory policies, demand and supply dynamics, competition, energy situation, security threats, and other factors all play a significant role that can impact an entity’s performance. Hence, it is paramount to be fully cognizant of how the industry is behaving and what can be expected in the future.

PACRA assesses the level of credit risk prevalent in various industries. This is an ongoing exercise to determine short-term and long-term prospects of the industry. We establish correlation between the industry and entities emanating out of it. Although industry level analysis is conducted on all the sectors in PACRA’s rating universe, we traditionally publish our industry reports (in public domain) for sectors that have five or more clients. This covers close to two-thirds of our outstanding ratings.

The new code of conduct requires rating agencies to publish industry reports for all the sectors. In compliance with the new code, PACRA will publish its opinion on all industries within its rating universe starting July 01, 2014. These could be in form of studies, reviews, update or snapshots.

Industry Specific Studies

Fee Structure

Fee Structure



Best Practices Guiding Documents

Sr#Title DateView
1ACRAA Code of Conduct Fundamentals for Domestic Credit Rating Agencies Apr-2011
2IOSCO Code of Conduct Fundamentals for Credit Rating Agencies May-2008
3PACRA Compliance Status on ACRAA Jan-2013
4SECP Code of Conduct for Credit Rating Companies/Agencies Jan-2014
5SECP Code of Corporate Governance Mar-2012


Board of Directors

Annual Financial Statements

Sr#Title DateView
1Annual Financial Statements Jun-2017
2Annual Financial Statements Jun-2016