The Reserve Bank has initiated steps to set up a wide-based digital Public Credit Registry (PCR) to capture details of all borrowers, including wilful defaulters and also the pending legal suits in order to check financial delinquencies.
The PCR will also include data from entities like market regulator SEBI, the corporate affairs ministry, Goods and Service Tax Network (GSTN) and the Insolvency and Bankruptcy Board of India (IBBI) to enable the banks and financial institutions to get 360 degree profile of existing and prospective borrowers on a real-time basis.
Earlier, a high-level task force (HTF) was constituted by the RBI to review the current availability of information on credit, the adequacy of the existing information utilities, and identify gaps that could be filled by a PCR.
Currently, there are multiple granular credit information repositories in India, with each having somewhat distinct objectives and coverage.
Within the RBI, CRILC is a borrower level supervisory dataset with a threshold in aggregate exposure of Rs 5 crore.
Also there are four privately owned credit information companies (CICs) operating in India. The RBI has mandated all its regulated entities to submit credit information individually to all four CICs.
Besides, borrowers would also be able to access their own credit information and seek corrections to the credit information reported on them.