DCG applauds Al Etihad Credit Bureau launch.
The Dubai Computer Group (DCG) has hailed the launch of Al Etihad Credit Bureau (AECB), a Federal Government mandated company that has started assessing individual and corporate credit-worthiness in the UAE.
The company, which started issuing credit
reports for individuals earlier this month, revealed that it will implement the
second phase next year and this will include issuing credit reports on all
companies operating in the UAE.
Shailendra Rughwani, president, DCG, said
as an association body in the IT sector, this is good news for members and all businesses
operating in the UAE. Rughwani added that this is going to benefit not only the
banks but even corporate and other business firms that depend on information
and credit worthiness of companies to push the market forward. "We hope that Al
Etihad Credit Bureau can connect to all the companies in the UAE including SMEs
so that it benefits smaller and larger firms to get information about a
particular company or individual. This is a very good step taken by the Federal
Government," he said.
Rughwani added that DCG is already working
on similar terms aimed at controlling credit extended to member through sharing
of information. "Initially the DCG had tied up with Emcredit. DCG will be
willing and open to work with Al Etihad Credit Bureau," he said.
He explained that the plan is to get in
touch with Al Etihad and invite them to visit DCG so that members can update it
about the challenges they face in their day to day business. "We hope we can
work closely with Al Etihad, which we believe will have benefits for our
members," he said.
Rughwani said the setting up of the bureau
will go a long way in curbing runaways in the IT channel. "This can happen with
the Credit Bureau becoming stronger when they get full cooperation from all the
companies in the UAE. We will spread information amongst our members explaining
the benefits of joining hands with the bureau," he said.
Rughwani reiterated that it is very
important to have a strong credit bureau, which has support from government. "As
the Al Etihad Credit Bureau is working with banks, financial institutions and
other organisations, the industry will be able to get invaluable information on
which companies and individuals have good credit ratings," he said.
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