<The issue of sharing credit information among the Gulf Cooperation Council (GCC) countries remains pivotal, although it is still in the process of being approved and then implemented. The sooner these countries reach a common formula in this area, the sooner they will ensure high-quality Gulf banking performance, as well as strengthen the mechanisms that provide banking “safety” for financial institutions and the institutions that deal with them, as well as individuals. The exchange of credit information is actually a guarantee for all parties involved. It shortens a lot of procedures, especially those related to the credit conditions of individual borrowers and institutions. In addition, GCC business is increasing within the GCC, and an agreement on the exchange of credit information will provide faster and safer banking services for GCC nationals. Issues such as the Guiding Standards for Banking Supervision document, the Principles of Corporate Governance of Banking Institutions, as well as the exchange of credit information are still under discussion among the GCC countries. Despite the similarity of GCC banking systems, the process of reaching a final formula in this context is still slow. The general economic movement in the GCC countries is already accelerating at an accelerated pace, which requires banking support that is matched by legitimacy and flexibility. It is true that there are details that need to be examined with the highest possible degree of scrutiny, but it is also true that there is common ground that should help achieve the goals faster than they are now. In addition, other global experiences also provide a database of data and experiences that can be used as a guide. This can be achieved even before the GCC monetary union project, which is also subject to obstacles. The existence of a unified Gulf banking supervision will automatically trigger various cooperation agreements between financial institutions in the region, including those related to borrowing and lending, the feasibility of projects that require bank financing, and the solvency of this or that party. It also has a global link to the conventions for banking institutions, particularly the Basel standards. If there are those who believe that the exchange of credit information could be subject to abuses or unwarranted disclosure, there are many guarantees that this will not happen, foremost among which is, of course, the role that the GCC central banks will play in this field. They are the bodies authorized to set standards, frameworks and cautions in the banking movement in their countries. Without forgetting that the exchange of credit information will increase the strength of the banking sector itself, which relies mainly on real, non-falsified information.
In countries around the world that adopt a market economy system, there are specialized institutions and companies that banks contract with to obtain the credit information of depositors and borrowers alike. These companies impose strict credit standards, which saves banks from unnecessary risks. Some GCC countries have already started to cooperate with each other in this vital area, but this cooperation has not reached levels that mimic the economic mobility among the GCC countries. The fact that other countries remain outside of this cooperation actually creates banking gaps that are detrimental to all parties. If there is a security link between the GCC countries, which is well developed, it is easy to have a credit link, especially if the volume of intra-GCC investments increases, and different segments of Gulf nationals tend to start businesses outside their countries.
The exchange of credit information will be an additional driver of GCC business and investment, as well as a much-needed immunity for banks from any illicit attempts against them.