SIMAH, BENEFIT launch electronic exchange of credit information
The Saudi Credit Bureau (SIMAH) and BENEFIT announced the initiation of the Electronic Exchange of Credit Information project between Saudi Arabia and Bahrain.
The announcement comes as a result of the Supreme Council of the Gulf Cooperation Council (GCC) decision at the Council’s meeting in its 37 session in 2016.
The council decision approved the exchange of credit information between the GCC states, in accordance with a comprehensive framework and plan outlining the mechanism to facilitate this exchange among the GCC states.
The project aims to enhance transparency for financial transactions at the GCC level and provide financial tools to reduce credit risks associated with financial transactions of all economic activities.
Central Bank of Bahrain (CBB) Governor Rasheed bin Mohammed Al Maraj stressed the importance of this initiative, which is in line with the collective vision and royal directives to develop and enhance commercial transactions and economic performance in both countries.
The initiative provides decision-making support processes for commercial relations and partnerships integrated with an advanced information system and audited data provided by the authorities handling credit information reports, which boosts confidence and transparency to unlock new opportunities for mutual business.
Saudi Central Bank (SAMA) Governor Dr. Fahd bin Abdullah Al Mubarak stressed the purpose of this initiative to achieve the objectives of the financial sector agenda in line with Saudi Arabia’s Vision 2030.
BENEFIT Chief Executive Al Janahi said that the Bahrain Credit Reference Bureaus working to complete the link with the rest of the GCC nations in collaboration with the central banks and relevant authorities and institutions in the GCC countries.
The initiative was implemented to strengthen the role of the credit information industry, and serve as a crucial pillar for control and supervision, boosting transparency, and contributing to the stability of the GCC nations’ financial sectors.
