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In the Forex Market, Trust Is Not a Promise — It’s Verified Through Safety, Transparency, and Support
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Abstract:The Financial Sector Conduct Authority (FSCA) has granted Sovereign Africa Ratings (Pty) Ltd (SAR) a licence to operate as a sovereign credit ratings agency from March 8, 2022.
The Financial Sector Conduct Authority (FSCA) has granted Sovereign Africa Ratings (Pty) Ltd (SAR) a licence to operate as a sovereign credit ratings agency from March 8, 2022.

SAR is based in Centurion in Gauteng, and is authorised to issue sovereign ratings only.
According to the FSCA, a sovereign credit rating is one where:
The entity rated is a state or a provincial or local authority of the state; or
The issuer of the debt or financial obligation, debt security, or other financial instrument is a state, or a provincial or local authority of the state; or
A special purpose vehicle of a state or a provincial or local authority of a state.
It says the approval is in terms of Section 5 of the Credit Rating Services Act which “seeks to ensure that credit ratings issued in South Africa meet minimum standards of quality, transparency and independence”.
Only companies licensed by the authority as credit rating agencies may lawfully issue credit ratings that may be used for regulatory purposes.
Disclaimer:
The views in this article only represent the author's personal views, and do not constitute investment advice on this platform. This platform does not guarantee the accuracy, completeness and timeliness of the information in the article, and will not be liable for any loss caused by the use of or reliance on the information in the article.

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