Pefindo ties up with S&P

JAKARTA (JP): Pefindo, Indonesia's only rating agency, will receive technical assistance from Standard & Poor's, an international rating company.

A Pefindo director, Urip Suprodjo, said that the agreement on technical assistance with Standard & Poor's would be signed here on July 22.

He said Pefindo has so far cooperated with a number of international rating agencies in improving the quality of its ratings.

At present, Pefindo receives technical assistance from IBCA, a British rating agency specializing in the financial sector, and the Rating Agency of Malaysia.

Pefindo is the only rating company authorized by the government to assign ratings on Indonesia's commercial papers and bonds issuers.

The number of companies applying for Pefindo's ratings has reached 106 since its establishment two years ago, with an average capitalization of Rp 100 billion (US$45.45 million) per issue. (hen)