Thirty-six credit unions participated in S&P Global Market Intelligence’s recent survey of 142 financial institutions nationwide (2023 U.S. Banking Outlook Survey), with their combined responses predicting higher interest rates, slower annualized deposit growth, moderate yearly lending growth, increasing loan delinquencies and charge-offs, and some sort of economic recession this year.
The survey revealed that credit union leaders and bankers expect the following to transpire in 2023:
Credit Deterioration and Economic Recession
Deposit Betas Expected to Accelerate
Mergers and Acquisitions Amid Slower Growth and Rising Costs