Bawumia Vindicated As XDS Data Shames IMANI’s Bright Simons Over Credit Scoring System

In response to Vice President Dr. Mahamudu Bawumia’s recent announcement regarding the introduction of a credit scoring system in Ghana, XDS Data, the country’s leading credit bureau, has issued a statement supporting the Vice President’s claim.

In a press release on December 5, 2023, XDS Data clarified that they have not produced any credit scores for the people of Ghana, supporting the Vice President’s statement. However, the credit bureau pointed out that the reason behind the absence of credit scores is the low penetration of Ghana cards, making it challenging to accurately capture an individual’s total exposure.

The organization acknowledged that while they possess the capability to generate credit scores for Ghanaians, the current prevalence of various forms of identification hampers their ability to ensure a comprehensive assessment. XDS Data stated that the lack of a standardized identification system makes it difficult for the credit bureau to be entirely certain of capturing an individual’s total financial exposure.

Furthermore, XDS Data revealed its ongoing research initiatives and expressed optimism that it would be able to produce credit scores for the people of Ghana once the Ghana Card penetration reaches the 90th percentile. The Ghana Card is expected to serve as the anchor for a credit system in the country.

This development follows Vice President Bawumia’s statement at the Kwame Nkrumah University of Science and Technology (KNUST), where he announced the upcoming introduction of an individualized credit scoring system in Ghana. Bawumia’s assertion was challenged by Bright Simmons of IMANI Africa, who argued that existing credit referencing bureaus already track individuals, making the proposed Ghana Card-based system redundant.

XDS Data’s response appears to settle the debate, confirming that they are currently not producing credit scores due to identification challenges but are actively working towards implementing a credit scoring system when the Ghana Card achieves widespread adoption. This clarification brings transparency to the current state of credit scoring in Ghana and outlines the steps being taken to address existing limitations.

Source: GhanaFeed.Com