AGRICULTURAI, CREDIT 53 



form a reserve fund ; the remaining 10 per cent, is divided among the mem- 

 bers in proportion to their amortization. payments. 

 The business of 1914 gave the following data : 



Guarantee fund 10,600,900 francs 



Reser\^e " 30,409,826 



Credit granted 467,613,834 



Mortgage titles in circulation . . . 467,585,964 



namely ! ^^ 5 per cent . . . 327,385,112.50 



} " 4 " " ... 140,200,851.50 



Altogether 2,000 properties were mortgaged. 



§ 3. The Agriculturai. Bank (Banca Agricdla). 



Besides the Credikd fonder rural, which gives land credit to large proprie- 

 tors, there is the bank called the Banca Agricola wliich provides them with 

 working capital. It was founded in 1894 on the basis of the law passed on 

 28 March of that year. It is legally a stock company. During the parlia- 

 mentary debate on the law cited, in 1893-1894, the large proprietors proposed 

 the formation of a societ}' based on the principle of the collective liability 

 of all its members, but this proposal was not accepted and the bank re- 

 tained the form of a stock compan}', in accordance with the government's 

 scheme. 



The bank has its headquarterst at Bucharest ; and has five branches 



— at Braila, Jassy, Constanza, Craiova and Galatz — , and twelve agencies, 



— at Botosani, Buzen, Calafat, Calara.si, Palticeni, Guirgni, Roman, Fecuci 

 Fulcea, Vaseni, Ramnicu-Sarat and Turnu-Magurele. 



Its capital in shares is 7,938,125 francs, di\dded into 24,425 shares of 

 325 francs each. A capital in shares of 12,212,500 francs was at first antici- 

 pated, that is 24,425 shares of 500 francs each. Before however it was com- 

 pletely paid up a reduction of 175 francs a share was made. This capital 

 in shares can, if need be, be brought up to twenty million francs. 



The Banca Agricola receives, in addition to its own capital, outside 

 capital : a) credit granted by the national bank ; h) deposits of individuals. 

 It may also issue bonds (Kaesabons) secured by the credit it lias granted. 

 These bear the number of the credit operation on the security of which they 

 have been issued, and may be in circulation for a month or more. The total 

 sum of bonds in circulation must not exceed 50 per cent, of the paid-up 

 capital. 



The business of the Banca Agricola is as follows : 



i) It grants credit secured by pledged property- — cereals, live stock 

 and agricultural implements — and on warrants. The cereals may be 

 pledged before the harvest. The credit granted may not exceed 50 per 

 cent, of the value of the pledges, or — if granted before the harvest — 30 

 per cent. All pledges must be insured. 



