South African Finance Minister Pravin Gordhan cut his budget-deficit targets for the next three years as a weaker rand boosts tax revenue from exporters and the government pledges to stick to spending limits.
Michel Barnier, the European Union’s financial services commissioner, said credit ratings companies should have access to the same information. He was speaking at a press briefing in Brussels today. If a ratings agency uses information for one of its clients “the other agencies must have access to the same information,” he said.
The U.S. Securities and Exchange Commission has issued a report cautioning credit rating agencies about deceptive ratings conduct and the importance of sufficient internal controls over the policies, procedures, and methodologies the firms use to determine credit ratings.
Brazil plans to reduce lending by its development bank by about 20 percent next year to shore up finances after posting the biggest budget deficit in almost four years, fueling speculation the nation’s credit rating may be cut. Local swap rates fell.
Orange SA fell the most in more than a year after France’s former phone monopoly disclosed a tax expense topping 2 billion euros ($2.6 billion), prompting predictions of a credit-rating cut and overshadowing cost- cutting efforts to sustain profits.
Nykredit Realkredit A/S will cut costs by almost 10 percent as Chief Executive Officer Michael Rasmussen steers Denmark’s biggest mortgage bank through the broadest overhaul to hit the home-loan market in a decade.