CIB report goes online
The Central Bank advanced one step forward towards its automation process as the Governor Dr Atiur Rahman formally launched the online Credit Information Bureau (CIB) reports on Tuesday.
The system will reduce the whole report processing time to only few clicks of computers from around seven valuable working days, along with ensuring transparency and keeping loan defaulters away from getting fresh loans through any loopholes, BB officials hoped.
Banks and financial institutions will now be able to access the CIB database online to get the credit report of the concerned borrower. The database will consist of detailed information of individual borrowers, owners and guarantors.
CIB report, the dynamic and hassle-free system, is considered a pivotal component of risk management measures.
Online CIB will minimise the extent of default loan by facilitating the banks and financial institutions with credit reports of the loan applicants very quickly, and therefore, lending institutions would not encounter any credit risk while extending lending or rescheduling facility, the BB Governor said. “The CIB online service will play a pivotal role in creating a disciplined environment for borrowing. Risk management will be more effective as it’s an improved and efficient system,” Atiur said.
He also hoped that the system will assist the election commission in finding out the loan status of the candidates competing in national and local elections, apart from increasing banks’ expertise.
Currently, the number of borrowers in the country is more than 9.2 million and the BB daily receives around 6,000 applications for CIB reports.
Though only five days were stipulated for every procession, BB officials sweltered to do the job even in 20-25 days for shortage of manpower and manual handling.
But the introduction of the online system will reduce their work pressure and they will be able to utilise their skills elsewhere as the time consumption to get the job done will come down to only five minutes.
News: Daily Sun/ Bangladesh/20-july-2011