200805141297 | Public urged to utilise credit bureau - Mutebile

Public urged to utilise credit bureau - Mutebile

Tumusiime Mutebile, the central bank governor, has urged the public to use the credit reference bureau services to boost financial lending services in the economy. “Until now, it has not been easy for lenders to accurately assess the overall credit worthiness of borrowers in the financial sector,” Mutebile remarked.

He was opening a workshop for MPs on the Credit Reference Bureau Service at Imperial Royale Hotel, Kampala last week.

Financial institutions have been exposed to high credit risk due to the high cost of borrowing.

“The credit reference bureau service shall provide valuable information on borrowers, which lenders can use to improve the loan evaluation process,” Mutebile explained.

The governor expressed optimism that with the bureau, financial institutions and micro-deposit taking institutions would be better placed to gauge the credit worthiness of their customers.

This would ultimately lead to a reduction in the cost of borrowed funds, Mutebile predicted during the workshop.