Cooperative financial institutions: A review of the literature (2024)

McKillop, D., French, D., Quinn, B., Sobiech, A. L., & Wilson, J. O. S. (2020). Cooperative financial institutions: A review of the literature. International Review of Financial Analysis, 71, Article 101520. Advance online publication. https://doi.org/10.1016/j.irfa.2020.101520

McKillop, Donal ; French, Declan ; Quinn, Barry et al. / Cooperative financial institutions: A review of the literature. In: International Review of Financial Analysis. 2020 ; Vol. 71.

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title = "Cooperative financial institutions: A review of the literature",

abstract = "Financial cooperatives play an important role in the financial systems of many countries. They act as a safe haven for deposits and are major sources of credit for households and small- and medium-sized firms. A not-for-profit orientation (in many cases) and a focus on maximising benefits to members have ensured the enduring popularity and sustainability of financial cooperatives. This is particularly evident since the global financial crisis when financial cooperatives continued to extend credit to members as many profit-orientated commercial banks restricted credit to households and firms. The overarching theme of the first part of this review is the structural and behavioural characteristics of financial cooperatives. In this part we consider, the origin and diffusion of financial cooperatives, network arrangements, the business model, relationship banking, balancing the interest of members, tax treatment and regulatory framework. The second part has performance and contribution to the real economy as the overarching theme. In this part we consider, efficiency and sustainability, mergers, acquisitions and failures, the benefits (and challenges) of FinTech and the contribution of financial cooperatives to the real economy including during times of crisis. The paper concludes with a summary of what we now know (and do not know) about financial cooperatives and provides suggestions as to where future research may usefully concentrate.",

keywords = "Cooperative financial institutions, Literature review",

author = "Donal McKillop and Declan French and Barry Quinn and Sobiech, {Anna L.} and Wilson, {John O.S.}",

year = "2020",

month = oct,

day = "1",

doi = "10.1016/j.irfa.2020.101520",

language = "English",

volume = "71",

journal = "International Review of Financial Analysis",

issn = "1057-5219",

publisher = "Elsevier Inc.",

}

McKillop, D, French, D, Quinn, B, Sobiech, AL & Wilson, JOS 2020, 'Cooperative financial institutions: A review of the literature', International Review of Financial Analysis, vol. 71, 101520. https://doi.org/10.1016/j.irfa.2020.101520

Cooperative financial institutions: A review of the literature. / McKillop, Donal; French, Declan; Quinn, Barry et al.
In: International Review of Financial Analysis, Vol. 71, 101520, 01.10.2020.

Research output: Contribution to journal › Article › peer-review

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AU - Wilson, John O.S.

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N2 - Financial cooperatives play an important role in the financial systems of many countries. They act as a safe haven for deposits and are major sources of credit for households and small- and medium-sized firms. A not-for-profit orientation (in many cases) and a focus on maximising benefits to members have ensured the enduring popularity and sustainability of financial cooperatives. This is particularly evident since the global financial crisis when financial cooperatives continued to extend credit to members as many profit-orientated commercial banks restricted credit to households and firms. The overarching theme of the first part of this review is the structural and behavioural characteristics of financial cooperatives. In this part we consider, the origin and diffusion of financial cooperatives, network arrangements, the business model, relationship banking, balancing the interest of members, tax treatment and regulatory framework. The second part has performance and contribution to the real economy as the overarching theme. In this part we consider, efficiency and sustainability, mergers, acquisitions and failures, the benefits (and challenges) of FinTech and the contribution of financial cooperatives to the real economy including during times of crisis. The paper concludes with a summary of what we now know (and do not know) about financial cooperatives and provides suggestions as to where future research may usefully concentrate.

AB - Financial cooperatives play an important role in the financial systems of many countries. They act as a safe haven for deposits and are major sources of credit for households and small- and medium-sized firms. A not-for-profit orientation (in many cases) and a focus on maximising benefits to members have ensured the enduring popularity and sustainability of financial cooperatives. This is particularly evident since the global financial crisis when financial cooperatives continued to extend credit to members as many profit-orientated commercial banks restricted credit to households and firms. The overarching theme of the first part of this review is the structural and behavioural characteristics of financial cooperatives. In this part we consider, the origin and diffusion of financial cooperatives, network arrangements, the business model, relationship banking, balancing the interest of members, tax treatment and regulatory framework. The second part has performance and contribution to the real economy as the overarching theme. In this part we consider, efficiency and sustainability, mergers, acquisitions and failures, the benefits (and challenges) of FinTech and the contribution of financial cooperatives to the real economy including during times of crisis. The paper concludes with a summary of what we now know (and do not know) about financial cooperatives and provides suggestions as to where future research may usefully concentrate.

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McKillop D, French D, Quinn B, Sobiech AL, Wilson JOS. Cooperative financial institutions: A review of the literature. International Review of Financial Analysis. 2020 Oct 1;71:101520. Epub 2020 May 18. doi: 10.1016/j.irfa.2020.101520