This is a quarterly report jointly published by the CRI and Validus Capital Pte. Ltd. The report summarizes the PD performance of listed SME firms accross 12 sectors/subsectors (Bloomberg classification). It is also tasked to highlight within each sector the most significant credit trends, which are deemed practically important for professionals and investors. SMEs traditionally have limited accesss to capital in the financial sector due to difficulties in assessing their creditworthiness. To confront this issue, the CRI builds up a credit scoring model for SMEs leveraging on its analytical capacity in rating public firms. Through the engagement with its business partners, the CRI strives to contribute to the development of this vital area in a scientifically rigorous way.