He said this would help grow the economy, and stressed that some credit unions have had large amounts of money put into them by members that could be lent out.
Speaking in Limerick yesterday, Mr Noonan said: "There's about 430 credit unions, there's now a lot of capacity to re-lend, because the capacity to start lending is based on the amount of deposits that they have and they should go and start lending.
Meanwhile, Public Expenditure Minister Brendan Howlin yesterday said that the Government would be in a position to make "more positive choices" in the area of expenditure in October's Budget.
Mr Howlin gave his first indication that he is willing to increase spending in areas such as health and education – but warned that such a scenario depended on growth and job levels.
"In that context, if we do have the growth levels that the ESRI and IBEC are projecting, if we still have the uptake in jobs that seems to be happening, that will obviously give greater potential to make more positive choices at the end of this year than we've been able to do for any of the three previous Budgets," he said.
David Raleigh and Niall O'Connor
|Delly Handoko is one of an active member in Pancur Kasih Credit Union, Subah branch office service area. Being an active member not only involved in saving and loan money but also as the volunteer being part of core groups and collectors. Being a volunteer in Credit Union is one of Delly’s ... [more]|