Ontario credit unions grow in Q2 despite global uncertainty
FSRA's Q2 2026-27 Sector Outlook Report, which is a snapshot in time, showed Ontario’s Credit Unions continued growing assets and profitability during an ongoing period of global economic uncertainty.
Q2 Highlights include:
- Total sector assets reached $106.47 billion, reflecting a year-over-year increase of $4.33 billion or 4.24%.
- In terms of profitability, Return on Average Assets (ROAA) increased by 16 basis points (bps) to 46 bps year-over-year primarily as a result of a decrease in interest expense on deposits of 30 bps. (Note: 100 basis points equals 1 percentage point.)
- Q2 ROAA was 1 bps lower than Q1, with salaries and benefits expense increasing 2 basis points from the previous quarter.
- Year-over-year, residential mortgage loans grew by $1.51 billion or 2.68%, while commercial loans increased by $530.78 million or 1.97%.
- Borrowings decreased 25.25% year-over-year, indicating that Credit Unions continue to pay down existing commitments.
- The total over 30-day loan delinquency rate stood at 1.60%, reflecting an increase of 42 bps year-over-year and a 6 bps decrease from the previous quarter, the first quarterly decrease in the 30-day delinquency rate since Q3 2024.
In September, FSRA delivered the first iteration of the Enhanced Data Collection (EDC) Supplemental Report. Thank you to those who provided your feedback as we continue to develop the next edition of the report, which is expected in Q1 2027.
FSRA publishes Sector Outlook reports for the Credit Union sector every quarter. They provide an analysis and commentary on the economy and financial results in Ontario’s Credit Union sector.
Learn more:
FSRA continues to work on behalf of all stakeholders, including consumers, to ensure financial safety, fairness, and choice for everyone.
Learn more at www.fsrao.ca.