On January 1, 2025, the revised capital adequacy regulation (CRR III), also known as Basel IV, will come into force – Creditreform Rating analyzed the effects.
Based on exclusive data, Creditreform Rating has Analysis of the importance of ratings under the new banking regulation In addition to the impact on credit institutions, the analysis also examines the consequences for large companies, as the new capital requirements Could make loans more expensiveespecially for companies without external credit ratings.
The key findings of the analysis are:
– Credit institutions will have to hold more equity capital in the future and with higher operating costs for risk management This is likely to lead to rising credit costs, especially for unrated companies.
– Only 9.2% of large German companies (with an annual turnover of at least EUR 500 million) have a externes RatingThe proportion is particularly high in the automotive industry (27.6%), the logistics sector (26.3%) and the chemical industry (17.9%). In contrast, the rates are significantly lower in technology-intensive sectors such as mechanical engineering (10.3%), the metal industry (11.5%), the electrical industry (6.5%) and the consumer goods industry (7.7%).
– Creditreform Rating expects that the willingness of companies to commission an external rating will increase in the long term, as the reformed capital requirements Incentives for a credit assessment through a rating agency.
– The analysis of equity ratios by industry shows that at least half of the large companies have an equity ratio of over 30%. However, the retail sector (37.0%), the logistics sector (42.9%) and the automotive industry (38.1%) show a trend towards low equity ratios of less than 10% on.
In summary, Creditreform Rating’s analysis shows that Basel IV for credit institutions and large companies significant impact on financing costs In particular, companies without external ratings could face higher borrowing costs, which could lead to greater demand for credit ratings in the long term.
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