An excerpt from the lively Today exchange of the IRU members Raiffeisen Raiffeisen Published by IRU – International Raiffeisen Union 2 Raiffeisen Today An excerpt from the lively exchange of the IRU members Published by IRU - International Raiffeisen Union TABLE OF CONTENTS FRIEDRICH WILHELM CHAPTER 6: 6 RAIFFEISEN 49 GERMANY Raiffeisen’s cooperative idea and the NIMBYism syndrome The meaning of citizen energy PREFACE 8 cooperatives for the Energy Transition CHAPTER 1: CHAPTER 7: 10 RAIFFEISEN IN MODERN TIMES 56 INDIA Evolving banking system through cooperatives for women in India CHAPTER 2: 21 COOPERATIVES IN 61 The cooperative self-help DEVELOPMENT movement in rural India Cooperatives and Sustainable Development Goals (SDG) Think globally – Act locally CHAPTER 8: 64 ITALY Evolution of the mutuality principle CHAPTER 3: from reciprocity among members 24 AUSTRIA to the pursuit of the general interest Raiffeisen?! 69 Community-based cooperation. I have never known it like that! From local experiences to a short The ‘Aware: Raiffeisen’ initiative of manifesto for local development the Austrian Raiffeisen Association 75 Surviving together The development of alpine dairy cooperatives and their importance CHAPTER 5: to preserving mountain farming BELGIUM 32 in South Tyrol Young people and cooperatives CHAPTER 9: CHAPTER 4: JAPAN FRANCE 80 38 The influence of the idea and The French cooperative: practice of Raiffeisen on the a powerful model, agricultural co-operatives in Japan a model for the future 4 CHAPTER 10: CHAPTER 16: 88 KENYA 136 TURKEY The SACCO Movement The cooperative system in Turkey in Kenya up to 2017 and producer and marketing cooperatives run by women Amesia Çalışan Arı Kadın Girişimi CHAPTER 11: Üretim ve Pazarlama Kooperatifi 94 LUXEMBURG Cooperative banks in a digitized world CHAPTER 17: 148 COOPERATIVE LAW Friedrich Wilhelm Raiffeisen CHAPTER 12: and Cooperative Law 98 NETHERLANDS The boom of cooperatives in the Netherlands ATTACHMENT: 154 IRU short profile 156 IRU Members Map CHAPTER 13: 107 PARAGUAY 158 Table of Figures Eyes on rural communities in Paraguay: Rural development through cooperativism and associativity in general CHAPTER 14: 117 SOUTH KOREA Korean Credit Unions CSR and Social Finance CHAPTER 15: 126 SWITZERLAND The origins, present and future of the Raiffeisen idea in Switzerland TABLE OF CONTENTS FRIEDRICH WILHELM RAIFFEISEN He never travelled the world – but his idea did! Appointed mayor for the first time, Friedrich Wilhelm Raiffeisen began to show his persistent passion for finding new ways to ease people’s hardship through self-help and personal responsibility. He continued this work and developed his own credit institution to relieve the suffering of the rural population. On his way, he was support- ed by the Agricultural Association for Rheinpreussen and the Count of Wied and his work grew into developing cooperatives. Raiffeisen devoted all his time and energy to this work – even after he had lost his eyesight – until his death in 1888. These estab- lishments were one of the seeds of today’s global cooperative system. 6 ions as a Means of Relieving 1818 1848 the Hardship of the Rural Popu­ On March 22, Raiffeisen is ap- lation). The book is a complete March 30 pointed mayor of Flammersfeld. success. Only four years later, Birth of Raiffeisen as the seventh One year later, he founds the already 75 such associations of nine children in Hamm (Sieg)/ “Flammersfelder Hülfsverein” exist in the Prussian Rhine Germany. (Flammersfield’s Helping Associ- Province. ation) for the support of farmers in need, the first German associ- 1835–1843 ation with joint liability. 1874 Military service in Cologne, Coblenz and Sayn, which he onwards had to leave because of an eye 1852 In the following years Raiffeisen complaint. On August 24, he is appoint- founds many more institutions ed mayor of Heddesdorf and and creates structures up to founds the “Heddesdorfer the national level, such as the 1843–1845 Wohltätigkeitsverein” (Hed­ “Anwaltschaftsverband ländlich- Works as administrative officer desdorfer Charity) two years er Genossenschaften“ (Advocacy at the Coblenz District Adminis- later. This institution cared Federation of Rural Coopera- tration. for neglected children, poor tives) as a central institution for farmers, former prisoners and savings and loan associations. the establishment of a credit 1845 bank for people in need. In On January 15, he is appointed the following years, he founds 1888 mayor of Weyersbusch, a poor several “Darlehenskassen­ On March 11, Friedrich Wilhelm rural region in the Westerwald. vereine” (Savings and Loan Raiffeisen dies in Heddesdorf. He initiates the construction of Associations) where member- a school building and promotes ship was obligatory for the the construction of a street borrowers. These are connecting the Westerwald and considered to be the first the river Rhine to enable a better real cooperatives. sale of agricultural products. 1865 1846 For health issues, Raiffeisen is After a poor harvest and ex- forced to step down and retire ploding food prices, Raiffeisen from his position as mayor. founds the “Weyerbuscher Brodverein” (Weyerbusch’s Bread Association) – initially to 1866 distribute food, later for the joint With the significant support receipt of seeds and potatoes. of his daughter, Amalie Raiff­ Soon afterwards, the communal eisen, he publishes his book baking house is built – one of “Die Darlehnskassen­Vereine the first institutions to resemble als Mittel zur Abhilfe der Noth a cooperative. der ländlichen Bevölkerung” (The Savings and Loan Associat­ FRIEDRICH WILHELM RAIFFEISEN PREFACE Preface n September 2018, 160 representatives of the cooperative world met in Koblenz/Germany to I celebrate the 50th anniversary of the IRU Inter- national Raiffeisen Union and the 200th birthday of Friedrich Wilhelm Raiffeisen. The anniversary event at Fortress Ehrenbreitstein showed the di- versity of a worldwide cooperative practice, but also the common basic principles that unite all cooperative organisations. Until today, Raiffeisen’s idea from the 19th century is alive and reflected in the membership structure of the IRU. In order to find out how the cooperative idea and the Raiffeisen principles are understood and practised in the different coun- tries, this publication takes a look at the work of individual organisations, including the context of the respective country. At the beginning, the publication explores the relevance of Raiffeisen and his work from the 19th century for the economy and society of today. Not only cooperatives in traditional sectors such as agriculture and banking go back to Raiffeisen, but also new forms of entrepreneurial cooperation and the sharing economy are based on coopera- tive principles. Friedrich Wilhelm Raiffeisen as a social innovator - yesterday, today and tomorrow! Thereafter, the book shows how cooperatives can support the realisation of the Sustainable De- velopment Goals agreed in 2015 by the United Na- Franky Depickere / Andreas Kappes tions. The contributions from 14 countries form a 8 broad range of topics and at the same time the core of the publication. The final article high- lights how the cooperative principles have found their way into today’s cooperative legislation. “Raiffeisen Today” is not an academic treatise, but an excerpt from the lively exchange of the IRU members. The contributions are as diverse as our members. That is exactly what makes our organisation! We show ourselves in our differ- ences, but what unites us – our common ground – is Raiffeisen and his timeless principles. For half a century now, the IRU has followed its mission to carry the cooperative idea of Frie- drich Wilhelm Raiffeisen into the world and to bring together organisations that work according to his principles, to promote their exchange and to initiate joint activities. 50 years of the IRU - that is a success in itself. And yet: the world has changed since the IRU was founded. Digitalisation opens up new pos- sibilities for communication and data storage. Countries and continents are moving closer to- gether. International exchange and cross-border cooperation are being revolutionised. The General Assembly in September 2018 instructed the responsible bodies of the IRU to revise and further develop the IRU strategy for the coming years, to adapt it to current circum- stances and to create the greatest possible added value for its members. The exchange of experi- ence among each other and cooperation with new partner organisations must continue to be Franky Depickere stimulated, redefined and redesigned. President The IRU can and will succeed in strengthen- ing its unique network character. It must also ex- plore partnerships with other networks, so that mutual synergies can arise. In the future, we will continue to follow the co- operative principles once laid down by Friedrich Wilhelm Raiffeisen for the foundation and man- agement of loan societies. They are timeless, giv- ing orientation and security to our cooperatives and each individual, then, now and in the future. Andreas Kappes Leuven / Bonn in September 2019 Secretary General IRU – International Raiffeisen Union e. V. PREFACE CHAPTER 1 UMBRELLA CHAPTER Raiffeisen today Hans Groeneveld 10 1.1 Introduction cial sectors in other countries. Section 1.3 looks at the re-appearance of Raiffeisen and his ideas his contribution explores the meaning, val- in trending policy and academic discussions and ue and applicability of Raiffeisen’s ideas in publications. Section