The Vice President of IMANI-Africa, Bright Simons, has insisted and emphasized that there already is a credit-scoring system in Ghana, and debunked claims that it will be introduced in 2024 are untrue.
He had earlier debunked claims by the Vice President that the system would be introduced in 2024.
Bright Simons said it was untrue that Ghana has no
Read full articlecredit scoring system since it had already passed that law in 2010.
Vice President Dr. Bawumia had said there are plans to introduce a credit scoring system in 2024 to provide a credible credit history for individuals to enhance the financial sector, address trust issues, reduce the cost of doing business, and promote financial discipline.
“Ghana next year will be introducing a credit scoring system for individuals. Every individual will have a credit score. Right now, our credit scoring system does not exist, so we are seen as risky,” he added.
Bright Simons in a series of tweets on X wrote: “I am still getting messages trying to convince me that a credit scoring system doesn't exist in Ghana & will be introduced next year through Ghana Card. Let me repeat for emphasis: IT EXISTS. More than 8.7 MILLION Ghanaians are NOW captured & ~9.4m checks are done yearly.
“Also: 80% of the time, when a creditor runs a search on a Ghanaian borrower, they get a hit. YOU probably have a score. The issue is only 500 Ghanaians in 2022 requested their reports. YOU probably should. More than 15 million loans are covered by the system already.
“Lastly, someone protested that what we have in Ghana isn't "credit scoring". Also INCORRECT. "Credit scoring" is simply taking the data in the credit report of the borrower & reducing it to a number using a model. The 2 credit agencies in Gh - XDS & D&B - have models for this.
“Lastly, know that the creditor, such as YOUR bank or a telco, may have their own individual credit scoring model. Since they may know you very well, they will only use the credit score from the credit agency as just 1 input among others to decide on the credit risk of lending,” he added.
Bright Simons concluded "that the system isn't universal isn't unique to Gh. Surveys show that 31% - 60% of Americans don't know their credit score & research shows that 22% don't have a score at all. In Gh now, 50% of adults have a score. More work is needed but Gh Card is not the missing piece."
SSD/MA
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Bright Simons, Vice President IMANI Africa
