Credit Union sector has €2.1bn in loan capacity not being used

David Malone, CEO, Irish League of Credit Unions (left) with Gabriel Makhlouf, Governor, Central Bank of Ireland, Jennifer Carroll MacNeill, Minister of State at the Department of Finance and Martin Busch, President, Irish League of Credit Unions. Picture: Robbie Reynolds

Large credit unions in Ireland have €2.1bn of funds they could lend out to homes and businesses if they took advantage of increased lending limits available to them, the Governor of the Central Bank has said.

Gabriel Makhlouf said it was regrettable that there has not been a significant take up of the increased limits and said that at 30%, the loan-to-asset ratio in the credit union sector remains close to historically low levels. Of the 67 larger credit unions in the country, just 12 have applied for the increased lending limits. Of these 12, nine have already been approved, the Governor said.