World Council Releases 2021 Global Regulatory Update
Report outlines top financial regulation issues expected to impact credit unions
February 16, 2021
MADISON, Wis.—How international standard setting bodies react to the institutional stress placed on credit unions upon the withdrawal of COVID-19 relief measures will set the tone for the regulatory issues affecting cooperative finance worldwide in 2021.
That’s one of the key developments World Council of Credit Unions’ International Advocacy team will be watching this year, as outlined in the newly released 2021 Edition of the Global Regulatory Update.
“World Council will be actively engaged with many of the standard setters and regulators to ensure an orderly withdrawal of the relief measures and that appropriate remedial measures are provided for credit unions,” said Panya Monford, World Council’s International Advocacy Counsel.
Credit unions have proven themselves to be financial first responders during the pandemic, but regulatory burden could prevent them from providing essential services once COVID-19 relief measures are lifted. That’s why World Council will again stress the importance of proportionality to ensure international standard setters encourage national-level regulators to tailor rules and regulations appropriately for credit unions.
The pandemic has also underscored the need for credit unions to digitize services going forward so their members can make account transactions remotely. Whether a credit union is launching or expanding digital services, they’ll need to keep an eye on the pertinent regulations related to digitization, and innovations in digital finance, fintech and regtech.
“This is such a constantly evolving and improving area of financial services that it’s become a top priority for our industry,” said Monford. “World Council is aware any new regulations in this area will be burdensome and costly for credit unions. We will continue inform regulators of the challenges cooperative financial institutions face when implementing and monitoring this new technology.”
The new edition also covers several other leading regulatory issues affecting credit unions across the globe, including:
- Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT).
- Sustainable Finance.
You can read the entire 2021 edition of World Council’s Global Regulatory Update by clicking here.
World Council of Credit Unions is the global trade association and development platform for credit unions. World Council promotes the sustainable development of credit unions and other financial cooperatives around the world to empower people through access to high quality and affordable financial services. World Council advocates on behalf of the global credit union system before international organizations and works with national governments to improve legislation and regulation. Its technical assistance programs introduce new tools and technologies to strengthen credit unions' financial performance and increase their outreach.
World Council has implemented 300+ technical assistance programs in 90 countries. Worldwide, 86,055 credit unions in 118 countries serve 291 million people. Learn more about World Council's impact around the world at www.woccu.org.