Hong Kong's planned credit data bureau for small- and medium-sized enterprises (SMEs) aimed at providing them with easier access to bank loans could be operational in the third quarter of next year.
The Monetary Authority and banks will discuss the matter in the coming months.
The database will provide a better picture of companies' credit profile and repayment capabilities while reducing banks' reliance on collateral in handing out loans.
SMEs to be included in the bureau would be companies with annual sales of HK$50 million or less, and the initial stages would involve gathering information such as firms' credit line and outstanding debt. The database could later include account receivables, but would not include asset worth. The data would be retained for five years after all debts are cleared.
