We intend to continue working very closely together in regulation of the credit union sector, each focusing on its regulatory remit and area of competence. Third, over the past few years, credit unions have, with the approval of the Commissioner for Cooperatives, ventured into non-financial services. These include travel agency services, resorts, gym facilities, daycare services, retail outlets and real estate development.
We recognize that these non-core activities provide a supplementary source of earnings for credit unions and provide additional services to the credit union membership. However, these non-core activities represent a potential drain on the limited managerial capacity and expertise of many credit unions. Moreover, these non-financial activities pose risks that are outside the supervisory responsibility of the Central Bank.