EU sets new rules to regulate ratings agencies

Credit rating agencies will only be able allowed to issue sovereign debt ratings on three set dates per year, in a deal agreed by the EU. The new rules have been introduced to prevent conflicts of interest and to reduce the reported over-reliance on rating agencies.  Many of the MEP's say that the agencies have aggravated the economic crisis with their “out of the blue” ratings. MEP Leonardo Domenici says: "It was a very difficult process, but we have taken the existing legislation a step forward on a path which will have to be explored further." November 30, 2012