Johnny Mythen (Wexford, Sinn Fein)
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82. To ask the Minister for Finance if he will consider an addition to fiscal policy regarding credit unions in a post-Covid-19 environment (details supplied). [11057/20]

Joan Collins (Dublin South Central, Independents 4 Change)
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83. To ask the Minister for Finance if he will address matters relating to support for SMEs and the wider economy as proposed by an organisation (details supplied). [11062/20]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 82 and 83 together.

The Government welcomes the important work credit unions are doing to support communities throughout Ireland at this difficult time and recognises the key role that credit unions can play in rebuilding the economy, including the SME sector.

Credit unions can and do already lend to SMEs, with €114 million of commercial loans outstanding as at end September 2019. There is nothing preventing credit unions from increasing their SME lending as they currently have capacity to lend up to €900 million. The Government would be supportive of credit unions who have the financial strength, competence and the capability, undertaking more SME lending. However, the decision to lend to SMEs is a decision made by the board of each credit union taking into account commercial and regulatory factors.

As part of the Government's COVID-19 supports, it is proposed to revise the Credit Guarantee Scheme (CGS). The scheme is a Department of Business, Enterprise & Innovation (DBEI) scheme, operated by the Strategic Banking Corporation of Ireland (SBCI), and is already available for banks, non-banks and credit unions to participate in, subject to certain conditions. Officials from DBEI, SBCI and my Department have been and will be available to discuss the CGS and other State financing supports with banks, non-banks and credit unions. In this regard I have been advised that some credit union stakeholders have held exploratory discussions with the SBCI in recent months. It should be noted that any amendments to the CGS will require legislative amendments and as such will be a matter for the Oireachtas.