In the context of the EACB Executive Committee in Barcelona in June, the financial newspaper Cinco Dias (El Pais economica) published on Monday 3rd of July, an interview with Gerhard Hofmann, EACB President. He answers questions on the need of credit co-operatives today, their future when the tendencies is to create giant banks, current challenges and opportunities, profitability, clients relationship, the reasons of co-operative banks resilience in the crisis and their role, including in rural areas.
Gerhard Hofmann highlights in his replies that Europe needs credit cooperatives even more today as it needs diversity. The crisis has demonstrated their solidity and resilience, their stabilising role. They have a crucial function in financial and social inclusion, they can rely on the trust of clients and members. There are challenges, particularly on the regulatory side (disproportionality, one-size fits all, complex and unstable regulatory framework), but also many opportunities ahead!
“Regulation should not shape banking models and structures, but leave this to fair competition in the market." Says Gerhard Hofmann.
“The size of co-operative banks doesn’t matter in the first place. It is more important that every co-operative serves their members’ interests and customers’ requirements. Let the market decide what is appropriate, not politicians of regulators.” - G. Hofmann
Read the entire article on Cinco Dias website and find the Excecutive committee press release here.
For further info, please contact: Elisa Bevilacqua, EACB Head of Communications & Research