Keep CIB updated on borrowers’ boards

Bangladesh Bank yesterday drew up a set of rules for companies that borrowed from banks and non-banks, requiring them to submit up-to-date information on their board of directors to the Credit Information Bureau (CIB).

Bangladesh Bank set up the CIB back in 1992 with the objective of minimising the extent of default loans.

CIB has been providing its services online since July 2011. Lenders have to check the credit status of a borrower with the CIB before giving out any loans.

So, companies will have to submit this information to the CIB through banks or NBFIs.

The chairmen of the lenders' board will attest the information before submitting those to the CIB.

The lenders will have to include board related information to the CIB database by using its batch contribution system before placing an application to the central bank.