Profit For Credit Unions Up By 36pc
Sydney Morning Herald
Wednesday May 12, 1993
Australia's credit unions have increased profits and membership during the half year to December 1992, leaving behind the troubles faced by other major financial institutions.
According to the Credit Union Services Corporation (CUSCAL), the central services body for 85 per cent of the country's credit unions, total profits for industry were $90 million at December 1992 and credit reserves also increased to $860 million.
Credit unions recorded a 36 per cent increase in operating profit to $78 million from the previous half year.
"Credit unions have worked tirelessly over the past 10 years to consolidate their position as key suppliers of financial services to the Australian community and to demonstrate their security," CUSCAL's managing director, Mr Reg Elliott, said.
The industry's capital adequacy ratio was at a record 12.6 per cent, well above the Reserve Bank's requirement of 8 per cent.
Total assets for the credit union industry increased by 7.5 per cent to$10.7 billion at December 1992.
Membership increased to three million compared with 2.8 million members at the end of June 1992.
"Recent moves to set uniform prudential and supervisory standards have enhanced credit union's standing and acceptance in the community," Mr Elliott said.
© 1993 Sydney Morning Herald
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