Credit Rating Agencies (CRAs) are organizations that assess the creditworthiness of borrowers, including governments and corporations. They provide ratings that indicate the likelihood of a borrower defaulting on their debt obligations. These ratings help investors make informed decisions about where to allocate their money. The most well-known CRAs include Moody's, Standard & Poor's, and Fitch Ratings. Each agency uses a specific methodology to evaluate financial health, considering factors like income, debt levels, and economic conditions. Their ratings can significantly impact borrowing costs and investment strategies in the financial markets.