Covid-19 is a proving to be a shock therapy that the world economy seemingly needed. From global supply chain disruptions, enterprise productivity degradation, electronic meetings to negative global crude oil prices, the pandemic, in a flash, has surely flipped the status quo as we know it. It is no longer business-as-usual in a lot of aspects, from social interactions, workplace concepts, to even possibly a new global order.
One area that has been disrupted is credit scoring for purposes of lending decisions. In my article titled “CBK directive creates an opportunity for alternative credit- scoring”, I cited the decision by the central bank to withdraw the approvals it granted to unregulated digital (mobile-based) and credit-only lenders as third-party credit information providers to credit reference bureaus (CRBs). This provides a window for alternative credit- scoring as sources of automated credit “decisioning”.
