Credit unions: risk and opportunities for rural entrepreneurs
2004
Jakusonoka, I. (Latvia Univ. of Agriculture, Jelgava (Latvia). Faculty of Economics. Dept. of Accounting and Finances)
Activities of credit unions during 1995-2004 have rapidly increased. They have been encouraged by the favourable legislation, the active participation of the population in credit union establishment and the support of Latvia Association of Cooperative Credit Unions. A distinguishing feature of credit unions is that members of credit unions are both owners of own financial cooperative and customers. This condition determines the specific approach to identification and management of the financial risk. The aim of the present study is to characterize the development of credit unions, their location in terms of regional division, investigate the methods for financial risk identification and analysis, focusing on the use of positive risk opportunities for crediting rural entrepreneurs.
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