Conservatives call on feds to allow all credit unions to offer emergency business loans

by Morinville News Staff

Conservative Members of Parliament Michael Cooper and Pierre Poilievre are calling on the Finance Minister to allow all Canadian credit unions to deliver the government’s promised $40,000 emergency small business loans.

“EDC does not recognize a single Alberta credit union to be an approved lender, which means that thousands of small businesses will face longer delays and banks will face less competition,” said Deputy Shadow Minister for Finance Michael Cooper in a media release Thursday night. “Businesses across Canada need cash now. The hundreds of credit unions across Canada can get it out the door. It is time for the government to open the door to competition and let credible unions save cash-starved entrepreneurs.”

The Conservatives charge that Export Development Canada, who is administering the program, considers only 11 of the province’s 239 credit unions to be approved lenders, a situation that will mean that Canada’s chartered banks will deliver almost all the loans with little competition. With thousands of small businesses relying on credit unions, the Conservatives say they will not get money unless they switch over to banks.

“Thousands of businesses with millions of workers are days away from bankruptcy. They need cash now. The government has promised them $40,000 loans. Why not use all financial institutions—especially local credit unions—to get the money out the door,” said Shadow Minister for Finance Pierre Poilievre. “Many rural, small business and western companies rely on credit unions instead of banks. Some rural communities do not even have bank branches. The government should open up competition now and let hundreds of credit unions help save millions of jobs.”

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