Guide / Toolkit

Credit Union Regulation and Supervision: Technical Guide

WOCCU’s experiences in developing suitable regulatory systems and supervisory frameworks
Download 16 pages

Presenting case studies of WOCCU support to credit union supervision in Uzbekistan, Bolivia, Britain and Canada and the United States, the guide states that:

  • A strong supervisory framework is built on a secure legislative foundation that is prudential, proportional and predictable;
  • Credit union legislation should regulate organizing, licensing, activities, membership, election processes, record-keeping and money-laundering;
  • Credit union regulation is more detailed than legislation and addresses specific operational, financial and operational issues;
  • The government agency responsible for supervising the finance sector should supervise all credit unions in a country, choosing from many available models.

The guide also outlines international credit union safety and soundness principles, the implications of Basel II for credit unions, and the benefits of the PEARLS monitoring system that measures financial performance and operational efficiency of a credit union.