The World Council of Credit Unions (WOCCU) has released a new global climate policy statement titled Advancing Climate Resilience and Sustainability Through Cooperative Finance. The document recognises that climate change represents both a significant financial risk and a strategic opportunity for credit unions and savings and credit cooperatives (SACCOs) worldwide.
The statement arrives as climate-related regulation accelerates globally, urging credit unions to prepare for new risk management expectations while expanding their role in sustainable finance. WOCCU’s commitment focuses on helping members navigate the evolving regulatory landscape and increasing access to green financial solutions within their local communities.
“Climate risk is becoming an increasingly material consideration for financial institutions globally,” said Paul Andrews, WOCCU Vice President of International Advocacy. “For credit unions, this creates both risk management challenges and strategic opportunities to support resilient, sustainable communities while continuing to advance financial inclusion.”
The policy acknowledges that climate-related risks—including extreme weather events and the transition to a low-carbon economy—can directly impact financial stability by affecting loan portfolios, collateral values, and operational continuity. However, it also highlights the unique position of credit unions to lead in financing climate solutions and supporting equitable economic transitions.
Under the new statement, WOCCU has committed to:
- Proportional advocacy: Pushing for risk-based regulatory frameworks that respect the cooperative business model.
- Institutional support: Providing guidance and resources to help credit unions assess and manage climate risks.
- Knowledge sharing: Facilitating the exchange of expertise across the global credit union system.
- Sustainability leadership: Elevating credit unions as leaders in inclusive and sustainable finance.
The statement emphasises that credit unions are already actively involved in climate solutions at the grassroots level, from financing energy-efficient housing and renewable energy projects to supporting disaster recovery for small businesses.
“Credit unions have always been about people helping people,” said WOCCU President and CEO Paul Treinen. “That mission extends naturally to helping communities build resilience in the face of climate change, ensuring that the transition to a sustainable economy is inclusive, practical and grounded in local needs.”
As regulatory developments continue to intensify, the WOCCU underscored the necessity for coordinated global advocacy and ongoing engagement with policymakers to ensure the cooperative sector remains a resilient pillar of the global financial system.
