The Origins of Credit Cooperatives in Argentina, 1887-1926

Abstract

Argentina’s credit co-operatives took their first steps between 1887 and 1926, under the umbrella of an imprecise legal framework. The poor characterization of the co-operative society in the commercial code of 1889, together with the lack of proper legislation and regulations in the financial system, led to the emergence of a variety of initiatives, not always inspired by the spirit of solidarity and mutual assistance. This article provides an overview of those pioneering experiences. By combining primary and secondary sources, it identifies and describes the essential features of the credit co-operatives established before the passing of the first Co-operatives Act, in late 1926. The study also discusses the key changes introduced by this law, analyzing their short-term effects on the sector’s structure.