Macedonian Credit Bureau

 

With the support of the USAID Business Environment Activity, the Macedonian Credit Bureau (MKB) will become fully operational at the beginning of 2011.  The MKB, founded two years ago, celebrated its operational launch at a ceremony on December 14th 2010.  

 

USAID assisted in the development of the business plan for MKB, and provided an international consultant that shared experiences from successful credit bureaus in other countries. The aim is to help develop the products and services the Credit Bureau will provide, and increase transparency and information sharing in the financial sector.

 

An improved credit information system will contribute to better credit risk management practices and improved access to credit, which will enhance private sector competitiveness and strengthen the overall economy.

 

The Macedonian Credit Bureau should contribute to a reduction of the costs of borrowing.  It will lower costs for people and institutions with good credit histories, and motivate borrowers to be more timely with their payments.

 

Credit bureaus provide creditors with reliable, relevant and comprehensive data on the repayment habits and current debt of their credit applicants. They enable lenders to lend to more and better-risk clients, and to better determine the interest rate spread that they need to cover expected losses of extending credit to good payers.