Circular No. 685 (microfinance institution rating agencies)

Philippines

(enacted in 2010)

Circular No. 685 of 2010, issued by the Bangko Sentral ng Pilipinas (BSP),  provides rules and regulations governing the recognition/derecognition of Microfinance Institution Rating Agencies (MIRAs), which are third-party rating agencies of microfinance institutions or banks with microfinance operations in the Philippines.

This circular covers the following topics:

  • Pre-qualification requirements;
  • Minimum eligibility criteria regarding:
    • Organizational structure,
    • Resources,
    • Objectivity,
    • Independence,
    • Transparency,
    • Disclosure requirements,
    • Credibility, and
    • Internal compliance procedures; and
  • De-recognition of MIRAs.