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SMERA to launch its SME rating business in South Asia

September 22, 2021

SMERA to launch its SME rating business in South Asia

Small and medium enterprise (SME) centered rating office SMERA Ratings, some portion of Acuite Group, is taking its SME rating business to South Asian nations before the end of October 2021. “Nations where English is one of the business dialects like Indonesia, Thailand, Malaysia, Bangladesh, and the Philippines are being thought of,” Sankar Chakraborti, Chairman, SMERA Ratings and Group CEO, Acuité revealed to Financial Express Online.

He added that the fundamental rating model will continue as before yet they will make certain changes respect to benchmarks (like the meaning of MSMEs, industry characterization, and so on) “The basics of SME business in these South Asian nations are comparative, they are all fare arranged, they experience the ill effects of a similar issue of absence of financing, so a similar model can be easily recreated,” he said.

Creditt ratings play an important role in making affordable funding open to SMEs as they connect the data imbalance between the external creditors and the SMEs themselves. Nonetheless, surveying the credit risk of SMEs has consistently been a test because of the absence of data around the association’s financial information and unviability of the SME rating business itself since it is a low-margin business.

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