The operating structure and the main work plan for the UAE’s Federal Credit Bureau were discussed at a meeting of its board recently.

The first meeting of the board was held at the Ministry of Finance’s (MoF) headquarters in Abu Dhabi.

The bureau is part of the efforts to enable both the private and public sectors to develop more comprehensive strategies with regard to providing loans, in addition to supporting the different initiatives taking place to limit credit risks in the UAE, said a statement.

The meeting was chaired by Obaid Humaid Al Tayer, Minister of State for Financial Affairs and the chairman of the Federal Credit Bureau, and was attended by Younis Haji Al Khouri, undersecretary of MoF and vice chairman of the bureau.

Other attendees included Abdul Rahman Saif Al Ghurair, chairman of the Dubai Chamber of Commerce and Industry; Mohammed Thani Murshid Al Rumaithi, chairman of Abu Dhabi Chamber of Commerce; Humaid Ali Bin Butti Al Muhairi, assistant undersecretary for commercial affairs, Ministry of Economy; Mahmood Ebraheem Al Mahmood, chief executive of ADS Holding, and Salem Sultan Al Dhaheri, deputy director at Abu Dhabi Investment Authority.

Board members focussed on the Federal Law No. (6), issued in 2010, concerning the establishment of the Credit Bureau. Talks were held on the regulations pertaining to the entity, the main operating structure of the bureau, in addition to determining a work plan and future goals to begin actively implementing the entity’s activities on a national level, said the statement.

Al Tayer said: “The UAE Cabinet’s approval of the Federal Credit Bureau’s board members reflects the UAE’s commitment to abide by the highest standards and best practices to limit credit risks facing banks and financial and service organizations in the country.

“The Bureau will enable the private and public sector to form better and more comprehensive strategies with regards to loan-related decisions, which will enhance loan classification and reduce defaults,” Al Tayer added.

The bureau’s most important tasks will include: collecting and documenting data from different financial institutions and individuals in the UAE, conducting studies and analysis, in addition to presenting comprehensive reports specifying debt levels and financial commitments. These reports will allow banks and financial institutions to better determine debt ceilings, and to decide on monthly payments in a more efficient manner, the statement said. – TradeArabia News Service