Mumbai, 25 Nov 2009
Experian, the global information services company, today announced the creation of Experian Credit Information Company of India Private Limited. This follows the formation of its joint venture with seven of India's leading public and private sector banks and non-banking financial institutions: Axis Bank, Federal Bank, Indian Bank, Magma Fincorp, Punjab National Bank, Sundaram Finance and Union Bank of India.
TS Narayanasami, a respected veteran of Indian banking, with a career spanning four decades in the banking industry, has been appointed Chairman of the Experian Credit Information Company. Mr Narayanasami is a former chairman of the Indian Bank's Association, Bank of India, Indian Overseas Bank and Andhra Bank.
Mr Narayanasami commented: “I am proud to be associated with this important venture, which will be to the overall benefit of the Indian financial services marketplace and consumers. As a leading global credit bureau operator, Experian will bring its cutting-edge technology and expertise to India. Credit information companies provide critical infrastructure to sustain the growth of the financial services sector, and therefore enhanced competition is welcome.”
Richard Fiddis, Managing Director - Strategic Markets at Experian, added: “Along with our joint venture partners, we are excited about the creation of the new Experian Credit Information Company in India. With over 40 years of experience, we operate 15 consumer and 13 business credit bureaux globally and have played an active role in helping shape industry best practice. Our Indian credit bureau will provide the platform to launch a range of new value added capabilities for the Indian market, helping to accelerate the financial services sector's development and to protect consumers.”
The Reserve Bank of India (RBI) in April 2009 granted Experian a provisional licence to create a Credit Information Company in India. Experian has secured approval from the Foreign Investment Promotion Board to invest 49% as Foreign Direct Investment in the Experian Credit Information Company, with its Indian joint venture partners holding the remaining equity. The company will now apply to the RBI to secure the final licence.
Experian was among a select few companies granted provisional approval to operate a credit bureau in India. The creation of the Experian Credit Information Company supports the Indian government's desire to introduce competition and global best practices into the financial services sector. The government's aim is to encourage greater data sharing to support responsible lending and increased financial inclusion.
The Experian Credit Information Company will provide companies with access to critical data and a range of services to help clients make better informed credit lending decisions and manage existing customer relationships more effectively.
Experian opened its office in India over two years ago to focus on its portfolio of decision analytics and marketing services, and has already established a strong track record with Indian clients. The Experian Credit Information Company will augment these services to enable Indian lending institutions to streamline customer acquisition and maximise the potential of existing customers. It also helps financial institutions reduce their exposure to fraud and financial risk.
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