By Barnabas Esiet.
A leading Nigerian rating agency, DataPro, has highlighted the historical evolution of the global credit rating industry, tracing its roots to the pioneering efforts of Robert Graham Dun and John M. Bradstreet in the 19th century.
In a report titled “Pioneers in Credit Rating: The Story of Messrs Dun and Bradstreet,” the agency explained that modern credit assessment systems were built on the early commercial credit reporting frameworks established by the two businessmen long before today’s familiar rating scales such as AAA and AA+ emerged.
According to the report, John M. Bradstreet, a lawyer based in Cincinnati in the United States, began formalising credit information while handling estate management, debt liquidation, and complex commercial transactions in the mid-1800s.
Through his work, he reportedly developed an extensive database on the creditworthiness of merchants and businesses.
Recognising the growing importance of reliable financial information in a rapidly expanding economy, Bradstreet later commercialised the system by establishing his own company.
In 1857, he published what was described as the first commercial rating manual, providing structured credit information on businesses across the country for subscribers.
The report also spotlighted Robert Graham Dun, who transformed The Mercantile Agency into R.G. Dun & Company. Unlike Bradstreet’s publication-driven model, Dun focused on building a widespread network of correspondents who gathered and supplied continuous information on the reputation, financial standing, and payment behaviour of businesses.
DataPro noted that Dun’s approach introduced a more systematic and ongoing method of assessing commercial risk, helping businesses move beyond informal trust-based dealings to decisions backed by documented financial intelligence.
The agency explained that both companies operated as competitors for several decades, constantly refining their reporting standards and methodologies. However, the economic turmoil of the Great Depression eventually reshaped the industry.
In 1933, R.G. Dun & Company and The Bradstreet Company merged to form Dun & Bradstreet, combining Dun’s expansive information network with Bradstreet’s structured publishing system.
According to DataPro, the merger marked a major turning point in the evolution of credit reporting and laid the foundation for the modern credit rating industry.
The report concluded that the history of credit ratings began not with rating symbols themselves, but with the systems and structures created to provide reliable commercial intelligence, placing Dun and Bradstreet at the centre of that transformation.
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