In a video update released Dec. 23, NCUA Chief Economist Ralph Monaco said that while the strongereconomy is good for credit unions, there is still uncertainty aboutthe economic outlook and future path of interestrates.

In the video, Monaco discussed the affect of rising interestrates in a discussion of economicconditions.

“We’ve entered a new interest rate environment, where risingrates, both short- and long-term, are more likely,” Monaco said.“Now is a good time for credit unions to evaluate income andbalance sheet changes across a range of potential interest ratescenarios, including one that looks like the Federal Reserve’sprojection.”