The world’s three major private credit-rating agencies are using their power to prevent low-income countries from restructuring their debts and stimulating their economies. The case for an independent public ratings agency has never been stronger.
The contradictions of highly centralized self-appointed invisible hands in
This points to a systemic problem in international finance: the extraordinary – and undeserved – power wielded by a few private credit-rating agencies. Just three – Moody’s, S&P Global Ratings, and Fitch Ratings – control more than 94% of outstanding credit ratings. And there is significant cross-shareholding among them.