New methodology mapping explains how rating frameworks are applied across funds, structured finance, project finance and guarantee-supported transactions – and what market participants should watch for in practice.
London, 23 June 2026 – As development and climate investment needs in emerging markets and developing economies (EMDEs) continue to outpace available capital, and as private capital mobilisation becomes increasingly important, the EMDE Investor Taskforce has today published a new CRA Methodology Mapping & Diagnostic: a practical guidance resource designed to improve transparency and understanding of how credit rating methodologies are applied in EMDE transactions.
Drawing on a mapping exercise across the major global credit rating agencies, the report explains how existing methodologies are used in practice across fund structures, structured finance, project finance, MDB/DFI-related entities and guarantee-supported transactions.
Through the use of case studies, the guidance explores how risk-mitigating and credit-enhancing features commonly used in blended finance structures, including guarantees, subordinated capital, paid-in capital, liquidity support and political risk insurance, may be reflected in ratings analysis, depending on the applicable methodology and the legal and structural features of the transaction. It also identifies common constraints including sovereign-related risks, concentration and correlation risk, limited historical data, and liquidity and funding considerations.
If we want to mobilise more private capital into EMDEs, it is important that investors, sponsors and market participants have a clearer understanding of how existing credit rating methodologies are applied in practice. This report is intended to help demystify that process — highlighting the main drivers of ratings outcomes, common constraints, and the practical considerations that can support more informed dialogue across the market.
S&P Global Ratings’ welcomes the opportunity to enhance transparency on our methodologies so that market participants can unlock opportunities in emerging markets and make decisions with conviction.
The EMDE Investor Taskforce developed the report to support more informed market dialogue and to contribute to a clearer shared understanding of how ratings considerations affect investability in EMDE contexts. By improving transparency around methodology application, the report aims to support more effective engagement across the investment chain and, ultimately, greater mobilisation of private capital into EMDEs.
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ABOUT
The Emerging Markets and Developing Economies (EMDE) Investor Taskforce is an industry-led initiative convened by the Minister of State for International Development and the Economic Secretary to the Treasury. The Taskforce brings together public and private sector stakeholders to develop practical solutions that will support institutional investors in pursuing investment opportunities in EMDEs to help deliver economic growth and tackle climate change.
Contact: media@EMDEInvestorTaskforce.org
The guidance is intended as a transparency and market-understanding resource only. It does not provide structuring advice, legal advice, investment advice or rating opinions, and no part of the guidance should be described as endorsed by participating credit rating agencies.