Cairo, Egypt - The Arab Monetary Fund (AMF) and the World Bank Group launched a new guide today providing an overview of credit reporting systems in the Arab countries, part of wider efforts to improve the region's financial infrastructure and increase access to finance.
Credit reporting plays a critical role in helping banks and financial institutions manage credit risks and make sound lending decisions, based on the credit history of their clients. The Arab Credit Reporting Guide, launched on the sidelines of the Arab Governors meeting held in Cairo, maps the progress of credit reporting systems across 19 Arab countries, highlighting global trends and best practice for credit information sharing.
"Improving the infrastructure of the financial sector is key to effective risk management and sustainable financial inclusion across the region," said Dr. Abdulrahman Al Hamidy, Director General Chairman of the Board of the AMF. "We hope this guide will be an eye opener for regulators and policy makers and help them improve the legal and institutional frameworks that foster sound credit reporting practices."
"Credit reporting systems in the Arab Region still have a significant opportunity for improvement," said Mr. Sebastian-A Molineus, Director of Finance and Markets Global Practice at the World Bank Group. "A well-developed credit reporting system can fuel economic growth, increase access to finance, and enable the more efficient management of risk."
The guide was developed as part of the Arab Credit Reporting Initiative, a joint effort between IFC, a member of the World Bank Group, and the AMF. The initiative aims to raise awareness about the importance of credit information sharing, and support regulators, government bodies and financial institutions in establishing and enhancing credit reporting systems across the region.
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About the Arab Monetary Fund:
The Arab Monetary Fund, a regional Arab organization, was founded in 1976 and started operations in 1977. The fund has 22 member countries and promotes the development of financial markets in Arab countries, while establishing policies and methods for Arab monetary cooperation. This is done by providing short- and medium-term credit facilities to member states to help finance their overall balance-of-payments deficits. The fund also provides technical assistance to banking and monetary institutions in member states, conducts research, and disseminates knowledge on related topics. Headquarter in Abu Dhabi, United Arab Emirates. For more information, visit www.amf.org.ae.
About the World Bank Group:
The World Bank Group is one of the world's largest sources of funding and knowledge for developing countries. It comprises five closely associated institutions: the International Bank for Reconstruction and Development (IBRD) and the International Development Association (IDA), which together form the World Bank; the International Finance Corporation (IFC); the Multilateral Investment Guarantee Agency (MIGA); and the International Centre for Settlement of Investment Disputes (ICSID). Each institution plays a distinct role in the mission to fight poverty and improve living standards for people in the developing world. For more information, please visit www.worldbank.org, www.miga.org, and www.ifc.org.
© Press Release 2015
