Credit unions concerned over fragmentation

WHILE credit unions across the country “have no fear about being regulated by the Central Bank of Trinidad and Tobago,” credit union leaders are concerned about potential fragmentation within the movement with the division of companies among several regulators based on their asset base. Following a decision made last year, companies with an asset base in excess of $100 million have been placed under the supervision of the Central Bank, and are currently calling for a single regulator with the necessary competence and authority to regulate the industry in the interest of the members and wider community.

At the recent meeting of the country’s 12 largest credit unions, it was asserted that there was “no fear of being regulated by the Central Bank,” since organisations expressed their confidence that their systems, operations and financial structures would withstand the highest levels of scrutiny. The Co-operative Credit Union League of Trinidad and Tobago and its members also took the opportunity to re-emphasise their commitment to enhanced regulations and the attaining of the highest levels of prudential financial management in the operations of the nation’s credit unions.