BSP launches SME credit risk database

THE Bangko Sentral ng Pilipinas (BSP) has launched acredit risk database with a web-based scoring system which will allow financial institutions to evaluate small businesses and boost credit access.

- Luisa Maria Jacinta C. Jocson

“It aims to enhance access to credit of small and medium enterprises (SMEs) by helping financial institutions (FIs) assess the creditworthiness of their SME borrowers, creating atruly inclusive economy,” the BSP said in amemorandum on its website.

The Credit Risk Database Philippines Web-based Scoring System (CRDPh System) is an automated platform designed to streamline the secured submission and processing of data and retrieval of credit risk database outputs.

It transitioned to a web-based platform from the previous standalone CRD scoring tool.

“By complementing existing models and tools, the CRDPh System expects to enhance the Fls’ credit risk-based evaluation of SME borrowers, address information asymmetry, improve loan pricing, reduce dependence on collateral, and ultimately support access to finance of SMEs.”