Evaluating the Role of Peruvian Credit Unions: A Case Study of 8 Credit Unions
This report provides Peruvian credit unions with information regarding members' and non-members' demographic and economic characteristics, use of financial services and perceptions of credit unions as financial institutions. World Council of Credit Union's (WOCCU) Implementation Grant Program (IGP) aims to increase income generation and wealth accumulation of credit union members through a package of savings, credit, and financial management services that will permit credit unions to grow and become operationally efficient and financially self-sufficient. The report presents findings from a survey of eight selected pilot credit unions. Findings indicate that credit unions:
- Play an important role in providing financial services to small business owners and salaried employees;
- Currently service low to low-middle income segments;
- Hold the dominant share of their members deposit accounts.
The report highlights the need for a broad based marketing strategy to attract the agriculture sector. It recommends that richer non-members should be educated about the benefits of maintaining savings accounts while poorer non-members should be given information about how to save. It identifies various factors necessary to encourage broader non-member participation.
