Crédit Agricole 140 years of history : 1890s - A bottom-up organisation
Creation of the local banks
While the Salins-les-Bains experience was a positive one, French farmers continued to face problems in the early 1890s and the government explored several ways of allowing them easier access to financing. These discussions led to the law of 5 November 1894 on “the creation of Crédit Agricole companies”. The Jura experience was put to good use and the government encouraged the creation of local banks with a cooperative structure throughout the country.
However, this law of 1894, which allowed farmers to join forces to finance their needs, soon reached its limits. The capital raised by the first local banks was not sufficient to meet all loan applications. In 1897, Jules Méline, Prime Minister, again asked the Banque de France to advance 40 million gold francs to the Crédit Agricole banks, repayable in 1920. This external contribution of funds gave Crédit Agricole real impetus to set up new local banks.
1. Jules Méline, sponsor of the 1894 law on the creation of local banks.
2. Albert Viger, sponsor of the 1899 law on the creation of regional banks.
Jules Méline, the sponsor of the 1894 law, praised the cooperative system and its impact on society: “Gentlemen, the main principle behind our project is the great and powerful lever with which we will, I am sure, raise and transform our society. With it alone, we will peacefully complete the changes that are afoot in the world of work”.
The creation of the regional banks
A new law, passed on 17 March 1899 and promoted by Albert Viger, organised the new financial structure. It led to the creation of the regional banks, which brought together the local mutual banks within their region, promoted mutualism in their regions and, most importantly, distributed government advances among the local banks according to their needs.
The distribution committee
At the higher level, a distribution committee comprising members of parliament and representatives of the regional banks was set up within the Ministry of Agriculture to distribute the advances.
The principle of mutualism was reflected in the institution’s governance.
The farmers who were mutual shareholders of the local mutual banks elected their directors and chairman, who represented the local banks with respect to their regional banks, which were in turn members of the distribution committee. As explained by Senator Victor Lourties, this structure made it possible to organise Crédit Agricole “from the bottom up”, allowing it to be as close as possible to farmers and local areas.
This decade of organisation reflects what will characterise Crédit Agricole throughout its history: a mutualist base, a cooperative structure and an important place for local initiatives, all facilitated by national guidelines.
Dans la même série
-
Crédit Agricole 140 years of history: 2025 until todayCrédit Agricole is now an original model of universal retail banking. -
Crédit Agricole 140 years of history: 2010s - The expression of our “Raison d’être”At the beginning of this decade, Crédit Agricole: included 39 regional banks, fully-fledged banks and the majority shareholders of the central institution Crédit Agricole S.A.; was active in all banking businesses; provided services to all types of customers, from individuals to corporates and institutional investors, from the most vulnerable to the wealthiest; included a second retail banking network, LCL; was present throughout France and on all continents. -
Crédit Agricole 140 years of history: 2000s - A new dimensionIn 2001, the regional banks, the majority shareholders of Caisse Nationale de Crédit Agricole, decided to open up its capital to the public. -
Crédit Agricole 140 years of history: 1990s - A growing groupCrédit Agricole, no longer under government supervision, was now in control of its destiny. It completed its goal of becoming a universal bank with the ambition of being useful to all. -
Crédit Agricole 140 years of history: 1980s - The beginnings of universal bankingIn the early 1980s, Crédit Agricole operated throughout France, including in the largest urban areas. It also began to develop its international network with a growing number of new locations (Frankfurt, Milan, Cairo, Singapore, etc.). -
Crédit Agricole 140 years of history: 1970s - From rural to internationalFrom 1971, Crédit Agricole’s geographical scope gradually expanded. -
Crédit Agricole 140 years of history: 1960s - A decade of renewalSince 1897, Crédit Agricole received advances from the government each year, which it had to repay. -
Crédit Agricole 140 years of history: 1950s - Expansion of the networkIn the early 1950s, Crédit Agricole developed savings inflows to boost financing for French farmers. -
Crédit Agricole 140 years of history: 1940s - War and reconstructionThe Second World War disrupted the organisation of Crédit Agricole. -
Crédit Agricole 140 years of history : 1930s - Helping farmers through the crisisThe 1929 crisis that began in the United States reached France in the following years. -
Crédit Agricole 140 years of history : 1920s - Electricity and housingThe birth of the Caisse Nationale de Crédit Agricole -
Crédit Agricole 140 years of history : 1910s - Serving the entire countryAt this time, two important measures strengthened Crédit Agricole’s action in its fight against rural depopulation. -
Crédit Agricole 140 years of history : 1900s - First extension of the scope of actionThe first decade of the 20th century saw Crédit Agricole establish a lasting presence in the regions. -
Crédit Agricole 140 years of history : 1880s - Creation in the JuraOur story begins in 1885 in Salins-les-Bains in the Jura.