Mr. Ed Farrell:

The ILCU also recommends that a significantly reduced statutory maximum interest rate for licensed moneylenders be introduced. They are currently allowed to charge interest rates of 200% and a 100% equivalent in charges. In 2015 the credit union movement, together with a group of stakeholders, created the personal microcredit scheme, PMC, which we branded as “it makes sense” loans. This was to help people to have an alternative to moneylenders. Following a pilot involving 30 credit unions, it has now been rolled out nationally. Over one third of the 111 credit unions are in the scheme, which was included in the programme for Government. We are hoping for continuing Government support to help us and the stakeholder group to roll it out to every credit union on the island.