FT-European Commission to remove certain market access rights from five countries

European Commission to remove market access rights from five countries.

According to the Financial Times, in a move that could hit the United Kingdom after it leaves the bloc, the Commission will reportedly block Argentina, Australia, Brazil, Canada and Singapore from accessing parts of the European Union's (EU) financial markets.

Regarding existing rules, the EU grants financial-market access to non-EU lenders, investment firms, clearing houses or credit rating agencies in its so-called "equivalence" system, as long as it considers their home rules to be in line with the EU's.

Financial Times reports that the five countries are deemed as no loner regulating credit rating agencies as rigorously as the bloc, thereby removing them from a position which made it possible for European banks to rely on those ratings.

If the Commission approves the mentioned motion, this will be the first tim such rights are withdrawn. It is a system that the UK will likely have to subscribe to after it leaves the European trading bloc.