Capital sustains growth plans for New England Credit Union

Of the 21 credit unions participating in the two Australian Mutual Capital Funding entities, New England Credit Union, based in Armidale in New South Wales is the credit union taking the largest slice of capital. NECU will draw down $11.5 million in tier one capital from the preference share issue and $5 million in tier two capital from the subordinated debt issue. Kevin Dupe, chief executive of NECU said yesterday that, “It’s been probably a two year project, and for us the tier one was the jewel. And it’s a jewel because it answers some questions about credit unions being able to capitalise their growth without the threat of demutualisation.”