1. W E L O O K A T T H I N G S D I F F E R E N T L Y Co-operatives a Model for Sustainable Development Credit Unions – the Financial Co-operative Rosemary O’Doherty, Director, ILCU Europa Hotel, 28 th June 2012 W E L O O K A T T H I N G S D I F F E R E N T L Y Co-operatives a Model for Sustainable Development Credit Unions – the Financial Co-operative Rosemary O’Doherty, Director, ILCU Europa Hotel, 28 th June 2012

2. The ILCU 492 affiliated credit unions Affiliates from Northern Ireland and ROI Trade & Representative – not a Head Office  Legal, Insurance, Monitoring, Marketing, ICT, HR & Training  Lobbying, dealing with Government, WOCCU Savings Protection Scheme W E L O O K A T T H I N G S D I F F E R E N T L Y 2

3. What is a Credit Union? Community based financial co-operative  Member owned, “one person one vote” Not for Profit but for Service Independent, stand-alone legal entities Managed by a voluntary Board of Directors Common Bond Ethos – equality, self-help W E L O O K A T T H I N G S D I F F E R E N T L Y 3

4. A Brief History Started in Ireland in 1959 To provide access to credit for those who couldn’t otherwise access it  Credit rationing – save & borrow Operating Principles  Democratic Control  Return of surplus to Members  Social Responsibility  Co-operation among Co-operatives W E L O O K A T T H I N G S D I F F E R E N T L Y 4

5. Co-operation among Co-operatives Co-operation has played a key role in the development of the credit union movement Common Bond – allowed new credit unions to develop  Credit unions do not compete with each other Funding of new credit unions Sharing of skills and expertise Sharing of services, facilities, IT, etc. W E L O O K A T T H I N G S D I F F E R E N T L Y 5

6. Credit Unions Today Regulated by the Financial Services Authority FSA Most now have professional staff Savings & Loans, plus some ancillary services Statistics:-  Members – 3million NI 415,000  Savings - €12 billion NI €1 billion  Loans - €5.5 billion NI 514 million  Assets - €13.5 billion NI €1.16 billion  Reserves - €2 billion NI €152 million W E L O O K A T T H I N G S D I F F E R E N T L Y 6

7. Key Challenges The economic situation Increased regulatory burden  FSA Governance issues Technology deficit Aging Membership W E L O O K A T T H I N G S D I F F E R E N T L Y 7

8. Co-operative Alliance Ireland Alliance of the three main co-operative organisations in Republic of Ireland namely ILCU ICOS - Irish Co-operative Organisation Society NABCO National Association of Building Co- operatives Formed to organise conference to mark IYC W E L O O K A T T H I N G S D I F F E R E N T L Y 8

9. Thanks for your attention! Rosemary O’Doherty, Director ILCU W E L O O K A T T H I N G S D I F F E R E N T L Y 9