Emcredit and DIFC join hands to raise awareness of credit bureaus

The workshop was jointly organised by DIFC and Emcredit, the UAE's first independent credit information provider.

Attended by representatives from commercial enterprises, financial service regulators, banks, auditing firms and business schools, the workshop is a part of a series of Professional Workshops organised by DIFC for its members and the industry at large.

This workshop broadly covered the importance of credit reporting companies for the enhanced functioning of financial and credit markets.

Introducing the workshop, Dr. Nasser Saidi, Chief Economist, DIFC Authority, said:

"The DIFC Workshops aim to promote understanding of technical financial market skills for market participants, contributing to the development of the region's financial markets and economies. They are geared to building financial market infrastructure and knowledge. Assessing lending risk and the risk profile of prospective borrowers is a key element in the success of financial institutions. Better information on credit and on credit risk protects creditors and improves overall access to finance: this means that both lenders and borrowers, in particular small and medium enterprises (SMEs) stand to benefit. The workshop allowed attendees to benefit from international best practices and integrate credit information into their strategic decisions".

The workshop elaborated on the different credit bureau models, prerequisites for establishing a successful credit reporting industry, the role of credit bureaus in supporting SME lending and the application of risk modelling to decision-making.

Highlighting the functions of a credit bureau and the depth of information it provides, Zaid Kamhawi, Business Development Director at Emcredit, said: "Credit Information companies are essential elements of financial sector infrastructure. By providing accurate and timely credit information, they enable financial institutions to gain a better perspective of their customers' repayment habits and capabilities, and make more informed decisions. Emcredit plays a crucial role in addressing information gaps that exist in the marketplace and we are very pleased that DIFC is taking an active role in building awareness on such an important global topic".

Other speakers at the workshop included representatives of Dun and Bradstreet, who discussed the creation a sustainable and profitable lending environment and PIC Solutions, who outlined the application of risk modelling to decision-making processes.

Emcredit specialises in offering credit information services and decision support tools to the UAE business community. Emcredit is based in the DIFC and operates in line with the DIFC's Data Protection Law.