COMPARISON
BETWEEN STATE COOPERATIVE SAVINGS AND LOANS WITH INDONESIA EUROPE ( UNITED)
Credit unions are cooperatives that specifically accepts savings and provides loans to its members .Such cooperatives can be distinguished from
Other cooperatives , credit unions , for example , particularly agricultural credit cooperatives
provide loans using funds from financial institutions
Another , do not use the funds from members . Agricultural cooperatives in the United States in
general form of cooperative kredit .
The purpose of the credit cooperatives ( credit unions) is to develop an attitude of life-saving
among poor people and save them from the moneylenders . Even now, even for
credit union serving customers who have never touched by other financial institutions .
Two cooperative movement started by Delitsch and Raffeisen , despite different ideologies , but
have the same function .
The idea of credit unions spread to Canada , then to America in the early 20th century and developed by the Indian
British government officials as well as to other areas . British motivation for
develop credit cooperatives in India as in America , influenced by
Dutch rule in Indonesia, which pioneered the Credit Institutions District and Village Unit
Bank Rakyat Indonesia . Since 1895 the Dutch government in Indonesia to
experiment with the form of savings and loan institutions . At first there is a desire
to form a cooperative , but the idea was rejected .
But a source says " The main farm credit cooperative " in India has over 139 million members by the number of
cooperative of more than 139 thousand . While the amount of the share capital and savings of nearly 1.3
trillion rupees ( about 26 billion dollars ) , and agricultural credit as much as 206 billion rupees ( approximately
4-5 billion dollars ) , or about 46 % of total loans pertanian8 . Meanwhile , the bank
commercial ( non - cooperative ) in India there are 7 trillion and 3.7 trillion rupees rupee savings kredit9
In India there are also non - agricultural credit cooperatives ( urban banks ) with the amount of savings
reach 0.6 trillion or 50 % of the total savings of agricultural cooperatives .
The influence of external organizers cause quite interesting contradiction . organizer outside
always want to control the formation of institutions . But the cooperative as an institution
democratic can not be controlled entirely by the organizers . There are two reasons
why organizers formed a cooperative , the lust of the organizers that the institution
formation can be self-sufficient and not dependent on the organizers or agencies
organizers . Second, there is great legitimacy in the democratic system by forming
cooperative institutions . This is actually the motive that drives the movement of distaste
anti - financial institutions together . Because of its democratic gives cooperatives
disseminating state legitimacy and still have a strong influence in the system
capitalist . But still there is a contradiction between the cooperative ownership ( which is established and
collectively taken care of ) the economic systems of individuals who have damaged the institution
with other financial .
While credit unions remain unaffected by the attacks of the anti - institution
together due to financial constraints in regulatory and internal strength of
The credit unions .
Supervision of Cooperative Savings and Loan As A Financial Institution .
Financial institutions typically be subject to oversight by the government , either directly
or indirectly through trade organizations . This is because they
responsible for public funds as well as the demand from the public to fund
they are protected . Means to conduct surveillance of slow growth and yet
complete in many countries . While the form of deposits with changed masyarakatpun
quickly making it difficult to distinguish which is the payment for trade
" Real " . However most countries have banned public fund raising
by institutions / individuals who are not authorized , except that comply with the rules and regulations ..
Countries that credit unions have made provisions
set about it , but there are fundamental differences in the extent to which the
credit unions are allowed to perform activities of non - members of the cooperative and
financial transactions they can do .
Traditionally , the focus of attention is the savings credit cooperatives , while loans granted
only if fully secured by savings deposited in the cooperative . Besides Indonesia ,
several other countries also have credit unions that also serves as a tool for
distribute government loans . Cooperatives in India and other developing countries ,
particularly in Asia , also has the same pattern with cooperatives in Indonesia . In the U.S. , the cooperative
credit sizeable expansion in lending , though still limited
for customers who have a relationship with a " group " itself . Meanwhile , the bank
commercial conduct of the protest " unfair competition " and tried to keep the
credit unions are taxed higher . Such taxes have been established in Canada , but
has only little effect on competition
In countries where the cooperative use of government funds in large numbers ,
cooperatives through the same thing as that experienced by financial institutions lainnyz . height
level of arrears is often threaten the financial stability of the cooperative itself. It is also
occur on agricultural credit cooperatives in the U.S. and credit cooperative systems in a number of countries in
Asia . Some countries , such as Bangladesh and the U.S. , tried to renew
cooperative organization in the hope of avoiding the difficulties of cooperative
as experienced in the past .
It is difficult to say whether there is a benefit or not in the presence of financial institutions
cooperatives . Cases that occurred in Indonesia and India , no different cooperative banks
involved with the provision of rural credit , which is heavily dominated by bureaucracy and
government , so that formal ownership is unclear . As for
cooperatives are democratically controlled by its members , sometimes by
a group of local elites , can be well-developed and sustainable . the above
not occur in the form of savings and loan institutions in the U.S. and other English which often
privatizing the agency to obtain a higher capital increase
for its shareholders .
Cooperative circumstances in Indonesia
The state of credit unions in Indonesia is quite difficult . Although many cooperatives in position
strong and profitable , but many more who are in a weakened condition and very
depending on government funding . To reach a better state may be required
closer scrutiny and form the depositor insurance .
However, the opposite trend occurred , with the regional autonomy , many cooperatives
savings and loans are no longer report their activities and there is no mechanism that can
forcing them to do so . We know that there are currently plans
that credit unions provide reports on a regular basis , at least for those
who has or would like to receive funding from the government .
There are two major groups of credit unions , namely the credit union and Baitul Mal wa tamwil
( BMT ) who perform activities outside the existing regulatory framework , although they are now
're making amendments
There is a Great Opportunity for Cooperative Savings and Loan .
This above is due to the bias against small local banks , increased requirements
capital for BPR ( Rural Bank ) thus opening the opportunity for
credit unions as institutions depositors with a good image and be careful .
Bank Rakyat Indonesia continues to expand in this market with village units and banks
Others did the same thing . However, banks are only able to serve
only a small fraction markets . BPR and LDKPs (Institute of Regional Rural Finance ) actually
have a good chance , but they have limitations because of the high structure
costs . Credit unions can keep costs low for small loans
so that they can compete effectively in the market . If they can continue
expand its business well should they are able to attract the funds
penyimbang to give the money interest rate menarik.Situasi cooperative is not clear , because
lack of reporting and monitoring . We do not know how the actual circumstances
the savings and credit cooperatives in Indonesia . An attempt we have made to the
certain provinces indicate that there is a possibility of any proportion cooperatives reported
several hundred percent smaller than the actual condition . A recent study
conducted by GTZ ( German technical aid ) showed some indikator12 . Chapter 6 of
The study , entitled " Cooperative Sector and Microfinance " . The last word , namely financial
micro , associated in particular with the cooperative banks Swamitra associated with Bukopin
and TPSP ( Place of Care Savings and Loans ) , a form similar to the cooperative
Bank Rakyat Indonesia . The article summarizes the state of the legal aspects and legislation .
The essence of the invention in the article are as follows :
" Cooperative sector in Indonesia is a sub - system of the worst microfinance
administration , lack pegawasan and lack of confidence in the report
given a fundamental weakness . The available data is not data
up - to-date and can not be used as a handle to perform the analysis . " material is more
Details are given for West Nusa Tenggara . The proportion of activities funded from deposits
only a small fraction, compared with other regions . But in keselurahan normalnormal
only .
