What Pakistan Credit Rating Agency does

Pakistan Credit Rating Agency Limited (PACRA), founded in 1994 and headquartered in Lahore, is one of two SECP-licensed credit rating agencies operating in Pakistan, alongside JCR-VIS. The company is publicly listed on the Pakistan Stock Exchange under the ticker GEMPACRA. PACRA delivers entity credit ratings, instrument ratings (debt securities, sukuks, TFCs, commercial paper), and specialized ratings covering asset managers, mutual funds, insurance financial strength, broker entities, and currency exchange companies. Its core technology stack consists of proprietary assessment methodologies and published criteria documents (including Parent-Subsidiary Linkage, Preference Shares, Transition and Default, and sector-specific frameworks), which are applied by its Rating Committee to produce credit opinions that satisfy SECP regulatory mandates and capital-market disclosure requirements. PACRA also produces recurring sector research across banking, insurance, holding companies, DFIs, oil transportation, real estate, cement, and other industries, distributed via its website and regulatory filings.

PACRA's revenue model is mandate-based: entities or third-party payers sign rating mandates that generate recurring fees for entity and specialized ratings and one-time fees for instrument ratings. The company targets a diversified but institutionally concentrated client base spanning commercial banks, Islamic banks, DFIs, asset management companies, mutual funds, insurance companies, brokers, holding companies (Engro Corporation, Engro Holdings), textile manufacturers (Yunus Textile, Saif Textile), and other corporate issuers. Distribution is sales-led and direct, with rating outputs publicly disclosed through pacra.com to investors, creditors, and regulators. Operating geographies are confined to Pakistan within the South Asia region.

Name

Pakistan Credit Rating Agency

Legal name

The Pakistan Credit Rating Agency Limited

Website

https://pacra.com

Company type

Private

Founded year

1994

Operating status

Operating

Headcount range

51–100 employees

Short description

Pakistan Credit Rating Agency (PACRA) is a Lahore-headquartered, SECP-licensed credit rating agency publicly listed on PSX (GEMPACRA), providing entity, instrument, asset manager, mutual fund, insurer, and broker ratings to Pakistani banks, asset managers, insurers, and corporates.

Ownership category

akta.pro rank

Product category

Credit Rating Services

NAICS

Credit Intermediation and Related Activities (522)

SIC

Asset-Backed Securities (6189), Finance Services (6199)

akta.pro primary industry

Structured Finance Ratings & Surveillance (FSACACAI)

Keywords

• Credit rating services
• Entity credit ratings
• Instrument ratings
• Fund stability ratings
• Insurer strength ratings

Headquarters

HQ city

Lahore

HQ country

Pakistan

HQ region

Asia

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Others

Revenue model

1. Entity Credit Ratings: PACRA charges entities (corporations, banks, financial institutions) for credit rating assessments. The rating mandate is signed directly with the entity being rated, while fee mandates may be signed with a third-party payer.
2. Instrument Ratings: Ratings for debt instruments, sukuks, TFCs, commercial paper, and other fixed-income securities issued by entities.
3. Specialized Ratings: Fund stability ratings, asset manager ratings, insurer strength ratings, broker ratings, and investment advisor ratings for the asset management and insurance industries.

Go-to-market motion1 record

Distribution channels1 record

Marketing channels4 records

Core offering

PACRA is a SECP-regulated credit rating agency that issues independent credit opinions on the creditworthiness of corporate entities, banks, DFIs, and government-related organizations in Pakistan. It also rates debt instruments (TFCs, sukuks, commercial paper), issues fund stability ratings for mutual funds, assesses insurer financial strength, rates asset managers, and evaluates broker entities. Ratings are produced under proprietary methodologies and published publicly to investors, creditors, and regulators.

Product overview

Pakistan Credit Rating Agency (PACRA) operates as a credit rating agency providing entity and instrument credit ratings alongside specialized ratings for the financial services sector. The product portfolio consists of core Credit Rating services (Entity Rating and Instrument Rating) and Specialized Ratings covering Asset Manager, Mutual Funds, Insurer Strength, and Broker ratings. The offering is complemented by Sector Research Publications covering industries such as banking, insurance, manufacturing, and financial services, as well as Rating Methodology Publications that document the criteria and frameworks used in assessments. PACRA functions as a traditional ratings agency without AI-powered or automated assessment capabilities.

Differentiator

Problem solved

Functional benefit

Products and services

• Entity Rating
• Instrument Rating
• Asset Manager Rating
• Mutual Fund Stability Rating
• Insurer Strength Rating
• Broker Rating

Quantifiable outcome

• PACRA maintained AAA/A-1+ ratings on MCB Bank Limited as of June 2026, reflecting strong capital adequacy and diversified revenue streams.
• +4 more outcomes

Named customers12 records

Segments5 records

Ideal customer profiles5 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature6 records

Partnerships

Two partnerships are on record, tiered core and minor.

• Securities and Exchange Commission of Pakistan (SECP)coreOthersPACRA operates as a credit rating agency under the regulatory oversight of the Securities and Exchange Commission of Pakistan (SECP). SECP governs PACRA's licensing, operations, and rating activities under applicable securities laws. In case complaints are not properly redressed by PACRA, investors may lodge complaints with SECP through the SECP's online complaint management system (SDMS).
• MUFAP (Mutual Funds Association of Pakistan)minorOthersPACRA's fund benchmarks reference MUFAP-selected benchmark rates for savings accounts of AA-rated scheduled banks. Fund benchmarks incorporate MUFAP benchmarks such as 'three (3) months average of the highest rates on savings account of three (3) AA rated scheduled Banks as selected by MUFAP.'

Scale indicators1 record

Recent moves6 records

Expansion highlights4 records

Broad incumbents

• Fitch Ratings: Fitch Ratings is the third global NRSRO and is the parent of India Ratings and Research. It is relevant to PACRA as a global peer in sovereign and corporate rating methodology, and indirectly shapes demand for local CRA ratings in emerging-market debt.
• S&P Global Ratings: S&P Global Ratings is another of the three dominant global CRAs, providing credit ratings on sovereigns, corporates, and structured finance worldwide. It represents the international incumbent benchmark against which PACRA's domestic franchise is evaluated by cross-border investors in Pakistani debt.
• Moody's Corporation: Moody's is one of the three global NRSROs and the international benchmark for credit rating methodology. While PACRA operates domestically, Moody's represents the global standard PACRA's frameworks are aligned to and the long-term international benchmark for the rating-agency business model.

Emerging players

• Egan-Jones Ratings Company: Egan-Jones is a US-based NRSRO with a subscriber-pays model that competes with the traditional issuer-pays approach. It is comparable to PACRA as a smaller, methodology-focused rating agency and illustrates alternative business-model approaches relevant to PACRA's strategic evolution.

Regional players

• India Ratings and Research: India Ratings is a Fitch subsidiary operating as one of India's SEBI-registered CRAs. It is comparable to PACRA as a regionally focused credit rating agency serving a South Asian market with similar regulatory drivers and customer base of banks, corporates, and asset managers.
• Credit Rating Agency of Bangladesh (CRAB): CRAB is one of Bangladesh's licensed credit rating agencies and serves a market structurally similar to Pakistan's — bank-heavy, sukuk-active, and regulated by a central securities commission. It provides a direct regional benchmark for PACRA's South Asian operating context.
• Malaysian Rating Corporation (MARC): MARC is Malaysia's domestic credit rating agency with expertise in Islamic finance and sukuk ratings — directly analogous to PACRA's instrument-rating franchise in Pakistan's Islamic-banking market. It serves as a regional peer for comparable specialized-rating product mix.
• CRISIL Ratings (S&P subsidiary India): CRISIL is the largest CRA in India and a subsidiary of S&P Global. It provides entity, instrument, and specialized ratings across Indian markets and is comparable to PACRA in business model and revenue mix, though operating at substantially greater scale.
• ICRA (Moody's subsidiary India): ICRA is a Moody's-affiliated Indian credit rating agency offering bank, corporate, and structured-finance ratings. Comparable to PACRA as a regionally focused CRA, sharing a similar issuer-pays model and serving a regulated domestic financial sector.

Direct peers

• JCR-VIS Credit Rating Company: JCR-VIS is Pakistan's other major credit rating agency, jointly owned by Japan Credit Rating Agency (JCR) and Vital Information Services (VIS). It directly competes with PACRA on entity, instrument, and specialized ratings under the same SECP framework, making it the closest one-to-one comparable.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat4 records

Key risks6 records

Key highlights7 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Pakistan Credit Rating Agency