Vice President and the New Patriotic Party ‘s leader Dr. Mahamudu Bawumia has officially launched Ghana’s National Credit Scoring System, branded as MyCreditScore.
aiming to enhance financial inclusion and support the formalization of the country’s economy.
The new system is intended to streamline credit access for Ghanaians, offering a cash-free way to make purchases while promoting responsible financial habits.
The government sees MyCreditScore as a transformative tool that will simplify how individuals and businesses access credit, enabling a more financially inclusive environment.
The initiative also aims to reduce the high rate of Non-Performing Loans (NPLs) impacting financial institutions, potentially leading to a more stable lending environment.
Dr. Bawumia highlighted that MyCreditScore is part of the government’s broader vision to create a digitized, inclusive economy. By making creditworthiness easier to assess, the initiative fosters transparency and strengthens trust between lenders and borrowers.
The credit scoring system marks a significant milestone in Ghana’s journey toward digital transformation, reflecting the government’s commitment to building a resilient, economically inclusive society.
Dr. Bawumia’s Speech During Launch of Ghana National Credit Scoring System (MyCreditScore)
With this system, the financial sector will now have a reliable way to assess the creditworthiness of individuals, a change that is expected to help address high lending rates.
The absence of a credit information system has increased lending risks, leading financial institutions to offer less credit.
A credit reporting system in Ghana will provide timely, accurate, and up-to-date information on debt profiles and borrowers’ repayment history, yielding numerous benefits.
This initiative comes at a crucial time for Ghana’s financial sector. Recent data from CEIC Data shows that, as of August 2024, Ghana’s non-performing loan (NPL) rate stands at 24.3%, with a peak of 26.7% earlier this year.
The introduction of myCreditScore is a pivotal step toward addressing these challenges, aligning Ghana’s credit ecosystem with international standards, and promoting a culture of responsible borrowing, Dr. Bawumia’s remarks.
