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The first French context of microfinance dates from the 1980's. As a matter of fact, the “grameen bank” model was imported at this time to France by M. Nowak, through her Association for an individual right to undertake: “Association pour le Droit à l'Initiative Economique” (ADIE). But today the domestic landscape of solidarity‐based finance counts plenty of “new” actors, such as: CIGALES, la NEF among others, not to forget intermediated social finance firms: Cooperative banks and public banks with social objectives like the Crédits Municipaux. The purpose of this paper is to show how solidarity‐based finance actors try to supply banking products and services to those who are excluded from access to the banking system and to test the hypothesis of an alternative financial system that is “socially responsible” in articulation with public and private sectors.

A typology of social banking actors is proposed. The nature of responsibility of each actor of this other kind of finance is described.

Social and solidarity‐based economy needs to be recognized by contemporary economics. Solidarity‐based finance shows us that another sustainable development model is possible.

This paper provides incentive to other social economists to continue this work in cooperation.

The world of ‘responsible’ ethical and social investment is more substantial than it might seem. At the end of 2007, holdings in ‘responsible’ funds amounted to 20 billion, against the 5 billion three years earlier. Although these ‘responsible’ holdings tend to be ‘best-in-class’ funds (Fig. 9.1), the significant rise in ‘sustainable funding’ in this area is clear.

The market for solidarity employee savings remains under most people's radar in France, but targeting a new audience of employee savers it has progressed steadily in recent years. The solidarity employee savings works on the same mechanisms of employee savings ‘classic’, while allowing employees, through a part of their investments, to help solidarity activities. Since 1 January 2010, it is mandatory that French employees be offered a solidarity savings fund in which they can invest assorted company savings plans (French acronym ‘PEE’ for plans épargne entreprise) or group retirement savings plans (French acronym ‘PERCO’ for plan épargne retraite collective). In this way, French legislators have created a wealth of around 12.3 million employees in solidarity employee savings, hence the value of understanding this emerging phenomenon and ascertaining its compatibility with employee savings.

Contrary to what its title might suggest, this chapter does not develop an alternative vision of finance. On the basis of the financial world as it currently operates, we propose to identify the paradoxes and the likely evolution of a banking and financial system evolving. Based on the facts, this chapter seeks to extend the discussions initiated in the last chapter, entitled “Socially responsible banks?” of our book “The management of the bank,” published by Vuibert editions. The frantic pace of innovation and the requirements of regulators encourage banks to review their organization and their governance. This chapter attempts to position the bank between two paradoxes: on one side, the crises have not made more responsible banks. The facts remain: rates and currency manipulation, embezzlement rules on bonuses, even if some are still under financial assistance of the United States. On the other hand, the “finance otherwise” innovates, disturbs, and upsets. Creative players such as collaborative funding or virtual currencies are not really threatening to the big banks. But in the past, marked by their personnel costs and infrastructure cannot meet the agility of these new entrants “crowdfunding,” and other online payment methods have backed the Web. These innovations really threaten banks that do not lack the resources to adapt. And if tomorrow, the banks no longer existed? Behavior changes and already a growing number of clients save, borrow, and lend the use of means of payment to settle their online purchases without using the services of traditional financial institutions! A certainty, “finance otherwise,” will play a stimulatory role. The speed and magnitude of change is such that it becomes necessary for banks and financial institutions to adapt to these new technologies to increase or simply maintain their business. Based on the facts, the chapter explores and analyzes the developments that may become sustainable for a banking system reluctant to lose the monopoly of the distribution of credit and means of payment. The “end of the banks,” is a “provocative” subject but insufficiently addressed in the economic literature.

Since Thomas Kuhn (1962), a historian of science who gave ‘paradigm’ its contemporary meaning, the term ‘paradigm’ has been widely used in science and social sciences to refer to a theoretical framework or thought pattern in any given discipline, or broadly, a set of experiences, beliefs and values that affect individual perceptions of a reality and their subsequent reactions. A dominant paradigm is the widely held system of thought in a society at a particular period of time. For Kuhn, a dominant paradigm can be changed and replaced by a new one, which often occurs in a revolutionary manner in science. In social sciences, ‘paradigm shift’ implies the changing ways of understanding and organising a social reality.

The purpose of this chapter is to synthesise research on the concept of sustainable development in finance. Indeed, since the mid-1990s under the leadership of the United Nations and various non-governmental organisations, sustainable development has experienced an unprecedented boom that affects many areas. This synthesis is organised around two main themes: sustainable finance and fintech/digitalisation.

The sector of interdependent venture capital in France will be detailed henceforth. We will try to understand why its investments deserve to be called ‘interdependent’.

Purpose – This chapter shows that Islamic finance does not aim at substituting the conventional financial system, rather it can be used to reform it. It can thus indirectly contribute to its survival.

Methodology/Approach – We first present the peculiarities of the Islamic financial model. We then investigate its prospects: coexistence, integration, substitution? It is the investigation of the strategy and activities of the Islamic banks that allows to address this issue.

Findings – We find that the deliberate strategy is essentially to compete with conventional banks. Consequently, there is a willingness to be part of the conventional system. The study of the Islamic financial system allows to conclude that their emergence serves a purpose. The Islamic financial principles provide a benchmark for improving and reforming the conventional system.

Originality/Value of Paper – The main contribution is to provide a clear answer to the future of Islamic finance, and to present the contribution of Islamic finance to renewal of financial and economic thought.

The purpose of this paper is to present the policies in the field of social and solidarity economics (SSE) in India and in Brazil, to draw a comparison between them and to present their strengths and weaknesses. This proposal is based on the innovative initiative of an ongoing collaboration between India and Brazil in the field of SSE within the South-South Triangular Cooperation framework of the International Labor Organization.

The methodological procedures used for the elaboration of this article were: literature review in both countries and field trips to India and Brazil.

The study helped us understand the realities of SSE in both countries. The importance of SSE can be observed as a means to deal with poverty and the need to generate income for portions of the population, in spite of the historic, cultural, political, economic and social differences. The Indian experience contributes to the theme of the insertion of women in the mechanisms of generation of work positions and income opportunities, whereas the Brazilian experience contributes to the topic of social cooperativism.

Despite the contributions of SSE to mitigate poverty and income deficiency, considering a significant share of the poor, particularly in India, the mechanisms for inclusion of this population are limited. A similar situation, however, to a lesser degree can also be observed in Brazil.

This study is an input for the elaboration of public policies of SSE, including the advantages of its transversality.

Besides, it will also help in the analysis and elaboration of social policies from an integrated and emancipatory view.

Within the international context, the authors understand that this was the first comparative study on the topic of SSE, undertaken between Brazil and India.

Purpose – The purpose of this chapter is to show that cooperative banks’ values and finalities are not identical to capitalist banks, which are solely geared toward the maximization of short-term financial returns.

The idea that has been widely trumpeted since the beginning of the cooperative movement is profoundly “democratic” due to the fact that it is based on the idea of one person=one vote and because the concept of “collective property” remains topical to this day.

This raises questions as to the best way of conceptualizing the fact that some executives of banking institutions operating in the social economy have in recent years prioritized the development of growth strategies whose only goal is to constantly increase their power and adopt the same ultimate goals as capitalist banks do.

Results – This chapter highlights the reasons for cooperative banks’ deviations and suggests a return to the original mindset of the social and solidarity ideal. It specifies what the terms “market” and “competition” refer to and also suggests a reshaping of two categories derived from neoclassical thinking: “free and self-determined individuals” and “enterprise.” Lastly, it identifies the institutional conditions underlying the generalization of cooperative finance so this is no longer viewed as something marginal or isolated.