The International Finance Corporation (IFC), the private sector arm of the World Bank, plans to set up a credit information bureau in Viet Nam with assistance from credit-card giant Visa International.
Visa is the first private company to offer support for the IFC Global Credit Bureau Programme, which supports the development of credit bureaus in developing and emerging economies.
In this first phase of the IFC programme, Visa plans to provide financial support to bureaus in Viet Nam as well as Brazil, Bulgaria, Nigeria, the Philippines, Romania, Ukraine and the United Arab Emirates.
"Credit bureaus are at the heart of sound lending practices and benefit not just lenders but also borrowers," said Gordon Cooper, Visa country manager for Viet Nam, Laos and Cambodia.
"The growth of Viet Nam’s economy depends largely on lenders’ abilities to sustain financing and manage risks efficiently and effectively," he said.
Cooper said that Visa and IFC would work closely with the Government, regulators, banks and other stakeholders to ensure the project delivers what Viet Nam needs.
Visa, which will also offer support to local banks on credit risk management and practices, opened its representative office in HCM City earlier this year.
In Viet Nam, it operates through 14 banks, with more than 80,000 Visa cards in circulation in the country.
"The adoption of an efficient credit bureau system is a vital next step," Cooper said.
Vietnamnews - (12/10/2005)