Mr. Ed Sibley:

We look at any proposal that comes into the Central Bank. Typically, at the moment, it is quite fragmented. Through work done by this committee, there is a focus on longer-term lending as an example. The proposals tend to lack some depth and really well thought through plans on what it means for the overall business model of a particular credit union or the credit union sector as a whole. It is very much focused on individual product development rather than considering what it means for the credit unions. In the discussion on longer term lending and investment, it is critical that the credit unions think about both sides of the balance sheet. They are talking about very long term products, in excess of 20 to 25 years in some cases, where their funding is on a demand, instantaneous basis. There is a need really to think through how the product development fits in with an overall mix of business and how it works on both sides of the balance sheet. It is also important that the sector as a whole coalesces around this common vision because it is very difficult for an individual credit union to be particularly innovative or to offer some of these services that require a great deal of infrastructure by which to operate and offer in a competitive way, and that brings us into more of a shared services model. We have not seen the vision from the sector as a whole. We see some very good managers who try to move their individual credit unions forward and some high level proposals come from the centre, but there is not enough thinking through as to how this will work overall.