Credit unions in Ukraine continue to face challenges

Bombing damage in Ukraine. Photo credit: World Council of Credit Unions.

The World Council of Credit Unions is reporting that the homes of more than 10 employees and members of one credit union were damaged or destroyed this month due to a “substantial increase” in shelling by the Russian military in the Zaporizhzhia Region of Ukraine.

In the Dnipro Region, businesses were asked to close offices and provide remote services to minimize power consumption, causing at least one credit union to close for several days each week and adjust its hours when open. With many of Ukraine’s other credit unions located in areas where the energy infrastructure is destroyed, many only operate for a few hours each day. Credit unions able to remain open have also had to expand their operational expenses to buy power generators, however, many credit unions are no longer operating.

These are common stories since Russia ramped up attacks earlier in October across Ukraine, according to WOCCU.

Credit unions, members, assets in Ukraine

  • The All-Ukrainian Credit Union Association was serving 63 active member credit unions on Dec. 31, 2021, and 10 of those credit unions suspended operations by June 30, 2022;
  • The Ukrainian National Association of Savings and Credit Unions dropped from 53 active member credit unions to just 40 over that same six-month span; those numbers are expected to decline even more due to this latest wave of attacks.
  • Membership dropped 16% nationwide through June 30; assets have taken a greater hit, declining 28%.

To donate to the Ukrainian Credit Union Displacement Fund, click here, or text CUS4UKRAINE to 44-321. A full list of donors can be viewed on the WFCU website.

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