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The financial crisis that led to the contraction of credit markets and an atmosphere of mistrust of private investors, could give impetus to the growth of credit cooperatives in the Russian Federation.

Moscow. 0ct 31, 2OO8. INTERFAX.RU - World financial crisis that led to the contraction of credit markets and a distrust of private investors to banks, could play into the hands of microfinance and credit cooperatives.

President of the Russian Microfinance Center (RMC) and the National Partnership Parties to the microfinance market, Mikhail Mamuta -

"We expect some increase in demand for loans and an increase in demand for other types of financial services from small businesses and by the people". "It is now nonbank microfinance sector and credit cooperative society, in particular, can play a meaningful role for the maintenance sector borrowing and savings services". According to him, this will involve a reduction in lending by banks population.

According to the director credit cooperatives second-tier "central" Andrew Sidneva, credit cooperatives are developing very well and feel great demand in smaller towns.

He said that on October 1, according to the Finance Ministry, in Russia rent tax records, that is, in effect, 2,5 thousands of credit co-operatives. The number of customers at more than 1 million people, the credit portfolio - about 25 billion rubles.

Credit cooperatives have attracted the savings of their shareholders and deliver their same payschikam loans. Chairman of Duma's subcommittee on microfinance and credit cooperatives Anatoly Gubkin told a news conference that the basis for the establishment and operation of credit cooperatives that "this money within the cooperative."

"By law, foreign or not to extradite or bring not only within the cooperative, so the stability of cooperative enough", - said the MP. Sydney also noted that credit cooperatives are not placed in securities, so they have no risk of devaluation.

According to him, loans are granted on bail or bond. Cooperatives lend its shareholders for consumer objectives (education, treatment, a wedding, funeral) or business purpose. However, when granting credit to the wedding or funeral of the application deadline is less than in banks, said Sydney.

According to his figures, a monthly average for the country's credit cooperatives grant 1OO-12O thousand loans totaling 6OO-8OO million rubles. The average amount of consumer credit is 7O thousand rubles, the business - 35O-4OO rubles.About 4O% of loans go to support entrepreneurship.

Good credit rate on loans issued by credit cooperatives, representing 24-36% per annum and the rate on savings engaged shareholders - 16-24% per annum. The proportion of bad loans ranged from 2.5% to 3.5%, reported Sydney. He also noted that the major borrowers are funded sector workers, pensioners, businessmen, employees of trade.

The formation of legislation regulating credit cooperatives, have not yet been completed, and overseeing these organizations until the end of not realized said Mamuta. This allows unscrupulous market participants under the guise of credit cooperatives to create financial pyramid.

Gubkin said that the State Duma passed the first reading of two bills that would regulate credit cooperatives. He said that by 2OO9 they could be confirmed definitively.

The result will set the reporting requirements of credit cooperatives, composition, as well as a full review. According to the Gubkin, a public oversight body can become the Ministry of Finance of Russia. In addition, legislation to counter laundering of criminal proceeds would be applied to the activities of credit cooperatives.

Following the entry into force of the law governing credit cooperative, all the credit cooperatives will need to be re-stated Gubkin. However, he said, there was no question of issuing a certificate or license.

Mamutov said that after the enactment of laws oversight will be implemented on the model, which is used in many countries around the world. "All credit cooperatives will necessarily merged into a self-regulatory organization (SRO), which will serve agents of the state oversight body and on his behalf to carry out monitoring of the activities of its members", - said President RMC. "This model is quite cheap and at the same time effective for this market segment," - he said.

Deputy Director of Corporate Governance Ministry of Economic Development Dmitry Skripichnikov at a press conference expressed the view that market participants would provide better control than they could make government officials. He explained that one of the elements of oversight, through the SRO is a shared financial responsibility of the members of SRO.

"Plus this oversight is mandatory financial responsibility, which is not in the control systems with gosuchastiem", - said Skripichnikov. According to him, it guarantees the property interests of shareholders credit cooperatives. In doing so, the State will be monitoring the SRO, said Deputy Director of Department.

Credit cooperatives, according to Russian law requires the insurance risk of death or disability borrower. For insurance risks credit cooperatives are usually set up their Mutual Insurance Society (EAD).

According to Sidneva, "younger brothers" of lending institutions consider it necessary legislative consolidation of life insurance borrowers. Currently, deputies of the State Duma of Russian Federation is seriously discussing amending the law on banks, which forbid them to force the borrower to life insurance, because this type of service is voluntary. (Such an initiative of deputies arose after the decision of the court case, found to be unsubstantiated claim creditor banks on mandatory life insurance borrower - approx. IF, AFI).

"In practice, our EOD - Implementation of an insurance payment in the event of the death of the borrower for any reason in the amount of 2OO rubles - said Sydney. - In doing so, the insurance indemnity is carried out even in those cases are considered exceptions to the insurers: suicide, alcohol or drug intoxication . Payments in excess of that amount has already been implemented, taking into account generally accepted in the insurance community approaches to the exclusion from insurance coverage. "

In addition, as noted by the head of the cooperative, about 2O Allied Commander in Russia have members of credit cooperatives service, which does not have not decided on independent insurers: they insure financial risks - savings shareholders. Such protection of savings in the current crisis, decided to propose a related entity Rus-Bank in the Far East "Rosgosstrakh". But this practice, according to the representative of the insurance group, is not intended for wide replication.

As the chief analyst Interfax-TSEA "Angela Dolgopolova," the fact that credit cooperatives are the creators of mutual insurance companies, demonstrates a situation of risk and does not add credibility "bundle". Nevertheless, the current EAD already regulated Rosstrahnadzorom to They brought demands for the formation of insurance reserves. MoF Russia, in turn, is finalizing the regulatory framework governing their reporting. "

Furthermore, as stated by M. Mamuta, international experience shows that the risks of lending activities of cooperatives as a grassroots-level financial and credit system limited to a narrow base of operations allowed, because they have the right to raise funds and lend only to shareholders.

He noted that in countries where credit cooperatives more developed than in Russia, their bankruptcy - a great rarity. For example, in Canada over the past 4O years of the credit cooperatives have been no bankruptcy, as in Lithuania, where the movement began in the early 9O-ies, for all this time, there is only one case of insolvency of credit cooperatives. In order to rescue insolvent cooperatives provided sufficient funding guarantee funds, which are specially created self-regulatory organization under the joint responsibility of members of SRO.

Guarantee Fund, you can create more quickly if the State decided to allocate a portion of its formation under the program to support small and medium-sized businesses, believes Mamuta. According to him, credit cooperatives are ready to raise funds on a returnable basis. "For example, this could be a long-term credit bank with state participation," - he said.

Gubkin said that on behalf of the community credit cooperatives, he appealed to Vice-Premier - Minister of Finance Alexei Kudrin. These include the allocation of credit through the Web in the amount of 1.5 billion rubles. In doing so, credit cooperatives are ready to take credit for general seats. According to the head of the subcommittee, the response from the Government was positive.

Vice-President of the Association of Russian Banks Vladimir Kiev said at a press conference that the results of questionnaires to 25% of bank loans relate to microcredit. In his view, inefficient banks to deal with such loans.

"Banks are looking for allies among microfinance organizations" - said Kiev. He believes that banks could negotiate a package of microfinance lending organizations. This would reduce the cost of banks to engage in such loans, increase the speed of traffic in the capital, as well as absolve themselves of the risks.

"We believe that the cooperation of banking institutions, credit cooperatives would all benefit" - said Kiev. Dolgopolova believes that microcredit programs have proven to be viable even in times of crisis in 1998. "Then this melochevkoy for ideological reasons, was engaged in the Russian market exclusively Bank Small Business Loan (KMB), where the main participant spoke EBRD", - the expert recalled.

According to her, analysis pogashaemosti microcredit, which then assessed the banking community as unreliable, showed that the loan is 98%. Then the EBRD recognized the microcredit program one of the most successful in the Russian market.