BB to give CIB reports online from June
Saturday, 13 February 2010
FE Report
Bangladesh Bank will start providing online information of its Credit Information Bureau (CIB) reports to banks and financial institutions on trial basis from June this year.
"We expect that the central bank would provide its CIB reports to the banks and financial institutions, using online system from October 2010," Executive Director of the Bangladesh Bank (BB) AHM Kai Khasru told the FE Wednesday.
Mr. Khasru also said the central bank is now working on the formulation of a policy relating to automation system of the CIB.
The banks and financial institutions will be able to collect the CIB reports from the central bank either physically or online during June-September period of this year, he added.
A project on the online connectivity between CIB of the central bank and the head offices of the commercial banks and financial institutions, which is now under way, is expected to be completed by October 1 this year.
Currently, CRIF, an Italian company, is now working to implement the CIB automation project.
The workload of the CIB kept on mounting as number of requests, number of borrowers and owners, number of reporting banks and non-banking financial institutions (NBFIs) kept increasing, the BB officials said.
Meanwhile, the inclusion of account details in CIB database increased by over 24 per cent in June last which indicated that more borrowers came under credit network across the country.
The number of individual borrowers, owners and guarantors, whose credit information is being maintained by the central bank, rose to 2.05 million in June 2009 from 1.65 million in June 2008, according to the central bank statistics.
Under the existing service standard of the central bank, the credit reports are supplied to the banks and financial institutions within five working days of receiving the requests, the volume of which was around 3800 per day in fiscal 2008-09.
As per the existing provisions, outstanding loans worth Tk 50,000 minimum are included in the CIB reporting system.
The CIB was set up on August 18, 1992 in the central bank aiming to improve credit risks and reduce the extent of default loan in the country's banking system.
Bangladesh Bank will start providing online information of its Credit Information Bureau (CIB) reports to banks and financial institutions on trial basis from June this year.
"We expect that the central bank would provide its CIB reports to the banks and financial institutions, using online system from October 2010," Executive Director of the Bangladesh Bank (BB) AHM Kai Khasru told the FE Wednesday.
Mr. Khasru also said the central bank is now working on the formulation of a policy relating to automation system of the CIB.
The banks and financial institutions will be able to collect the CIB reports from the central bank either physically or online during June-September period of this year, he added.
A project on the online connectivity between CIB of the central bank and the head offices of the commercial banks and financial institutions, which is now under way, is expected to be completed by October 1 this year.
Currently, CRIF, an Italian company, is now working to implement the CIB automation project.
The workload of the CIB kept on mounting as number of requests, number of borrowers and owners, number of reporting banks and non-banking financial institutions (NBFIs) kept increasing, the BB officials said.
Meanwhile, the inclusion of account details in CIB database increased by over 24 per cent in June last which indicated that more borrowers came under credit network across the country.
The number of individual borrowers, owners and guarantors, whose credit information is being maintained by the central bank, rose to 2.05 million in June 2009 from 1.65 million in June 2008, according to the central bank statistics.
Under the existing service standard of the central bank, the credit reports are supplied to the banks and financial institutions within five working days of receiving the requests, the volume of which was around 3800 per day in fiscal 2008-09.
As per the existing provisions, outstanding loans worth Tk 50,000 minimum are included in the CIB reporting system.
The CIB was set up on August 18, 1992 in the central bank aiming to improve credit risks and reduce the extent of default loan in the country's banking system.