NY credit-union leaders show ‘cautious optimism’ about economy, survey finds

The majority of participating New York state credit-union leaders are either somewhat optimistic or very optimistic about the national, state, and regional economies in 2014, according to newly released industry survey results.

The optimism percentages range from 50.7 percent to 52.6 percent of nearly 80 respondents. That’s according to the recent Economic Survey from the Albany–based Credit Union Association of New York (CUANY), which seeks to provide insights into the “opportunities and challenges” facing the state’s credit unions, the trade association said in a news release.

In contrast, 45 percent of leaders are either somewhat pessimistic or very pessimistic about the national and state economies, and 43 percent are somewhat or very pessimistic about their regional economies, the CUANY survey found.

Besides general feelings, the survey also asked about products and operations.

More than 60 percent of credit-union respondents are anticipating loan growth in 2014, while 57 percent are expecting growth in credit-union shares.

Among respondents whose credit unions offer business loans, 76 percent are anticipating growth in 2014, the survey found.

The majority of leaders are neither planning to hire new employees (53 percent) nor open new branches (72 percent) in 2014.

The findings reflect a “cautious optimism” among New York credit-union leaders as the economy continues recovering, William Mellin, president and CEO of CUANY, said in the news release.

“It’s encouraging to see that, while there are still many challenges facing our industry, the majority of New York credit unions are planning to increase their lending, serve more members and expand the products and services they provide in the year ahead,” Mellin said.

Credit-union leaders in the Central New York, Finger Lakes, and Long Island regions are the least optimistic about their regional economies in 2014, while those in the Adirondack, Metropolitan (New York City), and Rochester regions are the most optimistic.

More respondents are planning to expand their products and services in the Utica–Rome region (100 percent), the Central New York area (71 percent) and the Catskill–Hudson and Rochester regions (67 percent) than in other regions.

CUANY conducted the online survey in December. Nearly 80 credit-union leaders representing every asset category and region in New York state completed the survey.

Founded in 1917, the Credit Union Association of New York provides credit unions with services that include education and training, advocacy, community outreach, human resources, and compliance, according to its website.

Contact Reinhardt at ereinhardt@cnybj.com