This book examines the opportunities opened up for financial cooperatives by the recent financial crisis, and explores the role of these institutions in promoting and sustaining local development. The global financial crisis has not only shown the limits of the mainstream theory of markets and rational expectations, but has also generated a great deal of disillusionment with the banking system and underlined the importance of a healthy society for the welfare of the individual. Consequently, new and innovative ways of providing finance are needed, especially for strengthening the development of local societies.

Introduction: Cooperative Finance and Sustainable Local Development Yiorgos Alexopoulos and Silvio Goglio  Part 1: Stakeholder-Oriented versus Profit-Maximizing Banks  1. Cooperative Banking: A Minskyan Perspective Elisabetta De Antoni  2. Governance and Performance: Reassessing the Pre-Crisis Situation of European Banks Giovanni Ferri, Panu Kalmi and Eeva Kerola  3. Competition and Market Power within the Italian Banking System Juan S. López and Stefano Di Colli  4. Cooperative Capital: Why our World needs it Alan J. Robb, James H. Smith and J. Tom Webb  Part 2: From Cooperative Banks to Local Societies  5. The Case for Proactive Cooperative Banks in Local Development: Innovation, Growth, and Community Building in Almería, Spain Cynthia Giagnocavo, Luis Fernández-Revuelta Pérez and David Uclés Aguilera  6. Cooperative Banks and Community Development in Japan Rosario Laratta and Sachiko Nakagawa  7. Homo Dictyous Transforms Homo Oeconomicus: The Social Network Culture of Hellenic Cooperative Banking in Crete Theodoros A. Katerinakis  8. Innovative Approaches to Generating and Using Cooperative Capital: Observations from France and Germany Amélie Artis and Holger Blisse  9. Re-Discovering a Paradigm: The Promotion of Savings by Credit Unions within the UK Policy Context of Asset-Based Welfare Anita Marchesini and Paul A. Jones  10. Microfinance and Poverty Reduction in Bangladesh: Challenges and Opportunities Mokbul Morshed Ahmad  11. Microcredit: A Model for Activating Poverty Zones in Mexico David Eduardo de la Cerda Garza, Miriam del Rocío Arredondo Barrera, Morayma Lizbeth Martín González and María de la Luz Bravo Santillán  12. Conclusions: A Tale of Two Models Yiorgos Alexopoulos and Silvio Goglio