Credit Rating Agency Methodology for Multilateral Development Banks

Enhancing MDB–CRA Engagement.

Over the years, multilateral development banks (MDBs) have collaborated and taken proactive steps to strengthen their engagement with the CRAs, emphasizing periodic dialogue on key matters pertaining to the sector’s financial performance and top institutional priorities. Acknowledging the independence of CRAs, MDBs have provided constructive feedback on credit rating methodologies to highlight the industry's specificities and enable MDBs to more effectively engage and capitalize on the cutting-edge developments and trends in the domain of balance sheet optimization. This report is a joint MDB initiative intended to provide an overview of the engagements and improvements achieved over time in the rating criteria and present a proposal for further enhancing MDB-CRA engagement going forward, identifying focus areas for further dialogue between MDBs and CRAs.