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The credit information system is a crucial prerequisite element for a healthy financial market, the sharing of borrower credit information can have several affects, the sharing of positive information can help to screen the borrowers and solve the adverse selection problem, whereas sharing only default information can work as a borrower discipline mechanism, the intermediate position i.e.
sharing overall indebt ness of the borrower may reduce the incentive to over borrow from various lenders without any of them realising, moreover the credit information system can help in solving the start up problem for young entrepreneurs in developing countries, the borrower can build his/her reputation collateral which is viewed by some banks as of greater value than the physical collateral .
Wael Omer Abdin Nationality: Sudanese Masters LLM [MERIT] in International Business Law University of Manchester School of Law Masters LLM in Law University of Khartoum Faculty of Law LLB (Honors) University of Khartoum- Faculty of Law Managing Partner of Sudanese Commercial Law Office (SCLO) January 2007- Up to date
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