Zimbabwe’s information on credit status for companies and individuals is expected to improve as the credit registry system now has more than 385 000 banking sector records of companies and households.
Gone are the days when people would tamper with credit facilities as the central bank has put in mechanisms to stamp out loan defaulters, check credit limits and monitor credit worthiness of clients.
The credit registry has captured more than 385 000 corporates and individuals as at 17 February, according to latest central bank data seen by the ZBC News over the weekend.
Agribank chief economist Mr Joseph Mverecha said the credit registry was long overdue as South Africa and developed economies have achieved success through the system.
“We are really grateful to what is happening and we hope more can be done to unlock the value of credit facilities within the country,” he said.
The stamping out of credit risks is also aimed at ensuring the banking sector operates on a safe and viable climate thereby reducing net exposure to bad debts that have been hindering growth.
Statistics show that non performing loans had increased to more than 20 percent due to loan defaulters whoever most of them where then absorbed by the Zimbabwe Asset Management Company (ZAMCO).