UAE Banks Federation confirms progress on Credit Bureau

ABU DHABI- The UAE Banks Federation, a professional representative body representing 49 member banks operating in the UAE, is to convene an exceptional meeting of its Consumer Committee soon to discuss member banks’ cooperation with Al Etihad Credit Bureau. The subject was one of the main discussion points during the last CEO Advisory Council meeting held on March 2014, and will again be on the agenda of the next Council meeting to be held in early May 2014.

AbdulAziz Al Ghurair, Chairman of the UAE Banks Federation, commented: “The Federation strongly supports the creation of the Al Etihad Credit Bureau, and we are working closely with all Federation members to ensure that all member banks meet the requirements as stipulated by the Al Etihad Credit Bureau. Thus far all banks have been providing active support and participation for the various requirements such as securing IT connections with the Bureau, submitting test data, and attending technical and other workshops. All banks have been working towards meeting the deadline for the last deliverable which is to submit 24 months’ historical data for by 30th April. Our understanding is that all banks are actively involved with the Al Etihad Credit Bureau and are looking forward to the successful launch of the Credit Bureau”.

He added: “The establishment of a reliable credit bureau is a positive step for both banks and customers. It will enable banks to take well informed credit decisions. In the long run, it will improve portfolio quality for the banks and ensure responsible lending to customers by preventing them from getting into debt that they cannot afford. Overall it is expected to strengthen the economy and the banking system in the UAE.”

The UAE Banks Federation has also recently reiterated its support for the alleviation of personal debt in the UAE, and has encouraged its members to co-operate fully with UAE Nationals Debt Settlement Fund.