90% of credit unions report surplus for ’09

Nine out of 10 credit unions are in good health despite the crippling economic conditions, according to the Irish League of Credit Unions (ILCU).

The ILCU has published its results for 2009, showing 90% of its affiliated members delivered a surplus.

The ICLU report said that, in 2009:

* 89% of credit unions paid a dividend to their members. 70% of credit unions paid dividends to members of over 1%, of these 27% of credit unions paid over 2%.

* Members’ savings grew by 1.4%.

* Average savings per member were €4,026.

* Credit unions have provided €7bn in loans to their membership. In the Republic of Ireland, the average credit union loan at the end of 2009 was €8,933 (up 1% from 2008); in the North it was £3,451 (up 3% from 2008).

* Meanwhile total assets held by credit unions which are members of the ILCU grew by 1%.

ILCU president Mark Bailey said: “This year has proved challenging and difficult for financial institutions. However, most credit unions are performing very well given the circumstances.

“We are actively managing our financial affairs in a conservative and prudent manner to minimise exposure to our members in these difficult times.”

“Credit unions are also taking measures to ensure sufficient reserves are held to guard against exposure should there be any further deterioration in the general economy,” he added.

Article courtesy of The Evening Echo newspaper.