The annual report of the Irish League of Credit Unions published today shows that loans and savings with the country's credit unions continue to rise.
The value of loans advanced by credit unions last year was €6 billion, up 7% on 2002, while savings were ahead by 17.5% to €10 billion. Membership moved up 4% to 2.7 million.
The report shows that the average size of a credit union loan is €7,000, with 37% of loans for €750 or less. The report claims this fills a niche in the market from which other financial institutions are withdrawing.
The ILCU says the solvency of credit unions remains strong, while liquidity - the ability to meet the withdrawal needs of members - is 'significantly in excess ' of recommended requirements.
The league says a new PEARLS system provides speedy and precise analysis of the strengths and weaknesses of any credit union.
ILCU president John O'Regan said changes to the Credit Union Act would be needed to help the development of the movement. He cited the need to allow credit unions to lend larger amounts for longer periods and to ease restrictions on the use of deposit accounts.
