MISCEIvLANEOUvS INFORMATION RELATING TO CREDIT 

 IN VARIOUS COUNTRIES 



CANADA. 



'IHIv SHORT TERM Rl'RAL CREDIT ACT OF :\rAXITOBA.~ The Grain Growers' Guide, 

 Winnipei;, 17 October 191 7. 



^Ir. George W. Prout presented to the ]\Ianitoba legislature at their 

 session of 191 7 an Act providing for rural credit which received the royal 

 assent on g March. This is the Short Term Rural Credits Act which pro- 

 mises to have much influence in building up agriculture in Manitoba. 



The Act provides for the incorporation of a rural credit society in any 

 mtinicipality on the application of fifteen farmers to the governor-in-coun- 

 cil. An officer is appointed by the government to act as secretary-treasurer 

 to the society until the organization is completed when such an appoint- 

 ment is made permanently. The society cannot begin business until it 

 have secured fifty members each of whom has subscribed for one share of 

 $100 and paid up 10 per cent, of its amount. The provincial government 

 subscribes for a sum equal to half that subscribed bj' the fift)^ farmers, 

 namely §2,500, and the local municipality for other $2,500. The total ca- 

 pital stock thus reaches the sum of $ 10,000. Two or more municipali- 

 ties ma^- co-operate to pay the municipal subscription, but the total muni- 

 cipal subscription must in no case exceed 50 per cent, of that of the farmers. 

 The municipal subscription may be in municipal bonds. The capital jointly 

 subscribed by fift^^ farmers, by the rural municipalities and b}' the pro- 

 vince of Manitoba gives a basis for credit at the bank. 



When the societ}^ is completely organized the conduct of business is 

 vested in a board of nine directors, three elected by the members of the 

 society, three named b}' the mnnicij^ality and three appointed by the go- 

 vernment of Manitoba. The directors appointed by the Government must 

 include a graduate in agriculture who becomes the government supervisor 

 of agriciilture in the district. He may be known as district representative 

 or count> agent. One director, who acts as secretary, must be a capabl"^ ac- 

 countant and is the only paid official of the societ}-. 



The Act is specifically framed to provide for loans for a definite pe- 

 riod to enable regidar farming operations. It allows of loans for the 

 following purposes : 



1. The purchase of seed, fodder or other supplies ; 



2. The purchase of implements and machinery ; 



3. The purchase of cows, horses, sheep, pigs and other animals : 



