Case Study: The Basel Committee on Banking Supervision achieves clearer insight into government support impacts on credit ratings with S&P Global RatingsXpress

Understanding the Impact of Government Support on Credit Ratings

The Basel Committee on Banking Supervision (BCBS), working with S&P Global, needed a way for a large commercial bank in Asia Pacific to assess the impact of removing government support from counterparty credit ratings under Basel III. The risk management team wanted to understand a borrower’s standalone creditworthiness, compare financial risk against peer groups, and better evaluate business, industry, and economic risk across its loan and investment portfolios.

S&P Global proposed RatingsXpress: Scores & Factors, giving the bank access to historical credit ratings, stand-alone credit profiles, and the underlying business, financial, industry, economic, and support factors in a single source with automated delivery through its existing loader technology. The solution helped the bank improve provisioning decisions, better gauge portfolio risk, create more meaningful internal benchmarks, and streamline workflows, though the case study does not cite a quantified financial impact.

The Basel Committee on Banking Supervision (BCBS)