igii.] Credit Banks in France. 



845 



by the Bank of France for the renewal of its privileges, 

 together with an annual payment or rent of not less than 

 ^80,000, up to the year 1920. The latter amount, however, 

 has been considerably exceeded, with the result that the fund 

 available for loan to credit banks was over ,£4,000,000 in the 

 early part of 1910. The amount to be lent to any district 

 bank was, however, limited to four times its paid-up capital, 

 with the result that the actual sum advanced by the State to 

 the middle of 1910 was only about £2,200,000. 



The progress that has been made is regarded by the French 

 Ministry of Agriculture as encouraging, and it is anticipated 

 that in time credit banks will be established in all districts 

 of any importance. The following figures show the 

 progress during the past nine years : — 



1900. 1909. 



State loans ... ... ... ... ,£24,500 £1,850,000 



Number of district banks ...... 9 95 



Number of affiliated local banks ... 87 u 2,983 



Number of members ... ... .., 2,175 l 33,3& 2 



Total amount of loans granted ... ... £76,000 £4,201,000 



It will be seen from the above figures that the number of 

 members in each society was in 1909 about 45. The total 

 amount of money lent on loan in each of these local societies 

 was relatively substantial, being on the average about £1,400 

 in the course of the year, though the whole of this sum would 

 not necessarily be out on loan at the same time. As an 

 example of the extent to which these banks are used, it may 

 be mentioned that the aggregate amount of the loans granted 

 since 1899 has been not less than £20,700,000. 



In order to encourage the creation of these banks, the 

 French Ministry of Agriculture has established a Bureau for 

 the special purpose of assisting them by the distribution of 

 information. This Bureau issues model rules, handbooks, 

 etc., and acts generally in an advisory and administrative 

 capacity. In addition, the powers and duties of the district 

 banks, through whom the State funds are lent, are very 

 strictly defined by laws and decrees, which, among other 

 matters, require inspectors attached to the Bureau to examine 

 the accounts of the banks, and to satisfy themselves that the 

 legal requirements have been fulfilled. 



Local Banks .—In the case of the local bank a very consider- 

 able amount of liberty is given as regards its formation and 



