ABA Facilitates PCR Informative Session
date: December 12, 2017
To update member banks on PCR (Public Credit Registry) registration, reporting, importance and benefits for the commercial banks/financial sector, Afghanistan Bank Association (ABA) with coordination of PCR & Supervision Department, DAB conducted an informative session on PCR with main focus on the Movable property in ABA on December 12, 2017.
The objective of PCR is to establish a safe credit information system for the use of financial institutions, commercial banks, communication companies and relevant entities. Through this system, entities are able to find information on borrower’s credit history. Indeed, establishment of this system in the country’s banking sector is considered as an extraordinary initiative because it bears remarkable direct and indirect financial benefits in economy and trade and leads to economic growth and development in the country.
The main objective of the session was to update PCR Users on PCR coverage, technical aspects, addressing problems of users.
The meeting was attended by Saied Aziz Sadat, PCR Head, Supervision Team DAB, PCR Users ( ABA’s member banks) and ABA Management attended.
Mr. Najibullah Amiri ABA Executive Director welcomed the participants for the meeting and handed over the meeting chairmanship to Mr. Sadat.
Mr. Sadat delivered a comprehensive presentation on PCR legal framework, specification, registration of movable property, credit risk, credit reporting and achievements. Mr. Sadat Briefed members on World bank Doing Business Indicators. He added that, for the time being movable property can be registered under PCR, we working to register immovable property as well and we are with close coordination with other concerned government entities. As per World Bank target, PCR should meet 5% adult population of the country, we are committed work hard to meet the target. Furthermore, Mr. Sadat stated that PCR was established April 2013 to encourage SME business in terms of secured lending. For the time being 7048 loan files registered with outstanding amount of 70 billion AFN which covers 15 banks and 6 MFIs.
The members had some questions on PCR and supervision, what was addressed by Mr. Sadat and the Supervision Team.
Besides, the PCR,Mr. Najibullah Amiri updated members on submission of ABA official letters to DAB on 1% provisioning, asset Classification, partial guarantee and request for certain amendments. He, asked supervision team to take into priority these issues. Ms. Atheer, delegate of Subversion Team mentioned that, we working on the regulations, will come to ABA with justified response.