First is the clear conflict of interest. It will be a tough task for the investors, especially in the West, to believe that the ratings from the “independent” agency are being awarded with no governmental pressure and are politically impartial. Second, with the three major ratings agencies commanding more than 90 percent of the market, cracking it for a new entity will take a considerable amount of time and possibly never happen. More competition is always the key in such cases. Therefore, a better approach to taking on the “big three” in the market would be to decide upon a methodology that reflects the credit strengths of fincial entities much more accurately and popularising it by implementing it across the local credit rating agencies of the respective BRICS tions. The next step would be to adopt a model that elimites any conflict of interest and is more performance-based. Filly, there will a need to build a rapport among investors so that they can trust these ratings over that of the “big three”. (IANS)