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A credit-rating scale comparing credit risk within a specified national or regional market.
The agency calibrates its national scale to the relevant country and often adds a country-specific marker to the symbol. Ratings are interpreted against other ratings on that same scale. The agency may also publish an international rating for the issuer, which answers a different comparative question. Country risk and calibration make direct comparisons between national scales misleading.
Imagine Company A being rated AAA on Country X's national scale, while Company B is rated AAA on Country Y's national scale. Each is assessed relative to its own local market. The identical main letters do not establish equal default risk across the countries. Even Company A's international rating could be lower without contradicting its strong position among Country X's issuers.