ARLINGTON, Va.-All eyes are on how Europe weathers its financial crisis to gauge what U.S. credit unions can expect to see in the latter half of this year.
"Credit unions need to be prepared if there's a run on the bank in Europe," said NAFCU President Fred Becker. "But barring that, credit unions can expect to see a slow progression toward a better economy. Consumer confidence is now up, higher than it's been since 2007."
NAFCU Chief Economist and Director of Research David Carrier agreed. "We're all watching to see what's going to happen in Europe. If that turns out positively, we'll stay on track," he said. "We're seeing strong growth in consumer spending, which represents 70% of the economy, and that's important, because we're getting a drag from government spending and a drag from exports."
But with consumer spending on track, Carrier said, credit unions should expect to see continued loan growth and continued growth in shares and members.
"Credit unions need to continue to do what they do well, building their member base and building loam market share," suggested VP-Regulatory Affairs Carrie Hunt. "They need to focus on contingency planning for the future."
