At the third edition of their webinar series ‘You and Credit’, a corporate social responsibility initiative, CRC Credit Bureau Limited has sought to educate individuals and businesses in Nigeria on responsible lending and borrowing.
Themed ‘GSI & Credit Bureau: Strengthening Credit and Collections Management in Nigeria,’ the webinar held August 28.
The Global Standing Instruction (GSI) is a service of last resort which can be employed by a bank to recover outstanding debts from its customers who borrow money from it and default. A Bank is able to activate a Global Standing Instruction without recourse to the customer; by a direct set-off against deposits or investments held which the customer has in accounts with other banks.
Kevin Amugo, director, Financial Policy and Regulation Department of the Central Bank of Nigeria, who was the keynote speaker, gave the regulator’s perspective on the Global Standing Instruction and the Instruction’s role in supporting the functions of Credit Bureaus in Nigeria. One of such roles is that it will help reduce the number of non-performing loans in Nigeria’s banking sector.
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Amugo also highlighted the collaborative activities between the Central Bank of Nigeria and the Credit Bureaus in improving the credit score regime and ultimately expanding access to finance for individuals and businesses.
Olajumoke Odulaja, chief risk officer at Union Bank Plc and Olumide Osundolire, partner at Banwo & Ighodalo law firm also participated in the webinar. They both made presentations which explained the point of view of the commercial banks and the legal implications for borrowers and lenders in the Global Standing Instruction framework.
“This webinar is the third of many editions to come, organised by CRC as a means of giving back to society using the platform of ‘You and Credit’ to educate individuals and businesses in Nigeria, keeping them informed of the latest developments that may have implications on their finances in the short and long term,” Tunde Popoola, managing director/CEO of CRC Credit Bureau Limited said.
Popoola argued that with the right knowledge “we can begin to maximise the opportunities that abound using Credit. The GSI is a welcome development that will complement the activities of credit bureaus in encouraging and promoting responsible financial behaviour in Nigeria which will lead to economic development.”
CRC Credit Bureau is the largest Credit Bureau in Nigeria and provides a nationwide repository on credit profiles of corporate entities as well as consumers, improving the ability of credit providers and borrowers to make informed lending and borrowing decisions.
