Malawi establishes credit reference bureau

The bureau, which is scheduled to open its doors by early November this year, is set to collect and compile information on the credit history of borrowers.

“This will enable participating financial institutions access [to] a prospective borrower's credit profile when assessing credit application,” he said.

CEO for CRB-Africa, Wachira Ndege, expressed his firm's excitement to collaborate with BAM: “We promise to set up a world class internationally benchmarked credit bureau operation that will help improve the quality of life for millions of citizens,” he said.

Partridge said with the coming of the bureau, the banks will reduce the risk and this will compel them to even reduce the mark up which banks charge on the base lending rate as a risk element insurance.