Credit reference bureaus (CRBs) have recorded a 41 percent increase in credit report requests, a development industry players say shows the growing desire to maintain a good credit history and easily access finance.
Published data from the country’s two CRBs show that in the first quarter of this year, TransUnion Malawi registered a 35 percent increase in credit report requests while Credit Data CRB saw a 48.8 percent rise.
The rise follows an ongoing awareness through the Malawi Financial Literacy Campaign jointly conducted by the Reserve Bank of Malawi (RBM) and International Finance Corporation (IFC), the private sector financing arm of the Worle Bank Group, in partnership with key financial sector stakeholders.
In an interview on Monday, TransUnion Malawi country manager Dumisani Kadango said the increase “is a clear indication that more people are beginning to understand the value of maintaining a good credit history and the role it plays in accessing finance”.
On his part, Credit Data CRB marketing officer Alfred Mtira said the positive trend reflects increased awareness on the importance of credit, understanding ones credit status and maintaining a healthy credit history.
In a joint statement, RBM and IFC said a good credit report improve one’s access to finance as well as help to negotiate better terms and conditions with a financial services provider.
“Reviewing your credit report regularly ensures that you are in the best possible position when applying for new loans and will help you monitor your progress when repairing your credit record,” reads part of the statement.
Malawians are entitled to one free credit report a year from credit bureaus.
