Churches and GSB credit unions to merge

Two of the island's credit unions have announced plans to merge their operations.

Churches Co-operative Credit Union and GSB Co-operative Credit Union have signed a Memorandum of Understanding (MOU) which will govern the necessary due diligence to facilitate a timely and seamless transition.

The Boards of Directors of both credit unions have agreed to the merger in principle.

The transaction is aimed at strengthening the positions of Churches Cooperative and GSB thereby making the merged company one of the leading financial institutions in Jamaica.

At the end of last year, GSB had assets totalling $2.5 billion while Churches saw its asset base move from $3.9 billion to $4.3 billion.

In spite of the harsh economic climate last year Churches' loan portfolio grew by 9.5% to $3 billion; while GSB saw an 8% increase in loans which stood at $1.7 billion.