Page 41 - 2023 OUTLINE OF THE MINISTRY OF THE INTERIOR REPUBLIC OF CHINA

2023 OUTLINE OF THE MINISTRY OF THE INTERIOR

III. Cooperatives

Cooperatives refer to legal person organizations established based on the principle of equality and
mutual aid, and with an aim to boost the economic benefits and living standards of its members by means
of joint operations. The number of members and the total amount of capital stocks of a cooperative vary.

According to the business nature of cooperatives in Taiwan, there are mainly ten types of business coop-
eratives, including production, marketing, supply, utilization, labor, consumption, public utility, transpor-
tation, credit, and insurance. Credit cooperatives were transferred to the financial competent authorities
in 1970 and governed under separate legislation as of 1993. Credit unions were introduced in Taiwan in

1963, and relevant laws and regulations were promulgated in 1997 and amended in 2000; the MOI has
since been added and designated as the central competent authority, while credit unions have been offi-
cially integrated into the system of cooperatives.

Article 145, Paragraph 2 of the Constitution clearly prescribes that “Cooperative enterprises shall

receive encouragement and assistance from the State.” It is a fundamental state policy to encourage
and assist cooperative enterprises. As such, to actively develop cooperative enterprises in Taiwan, a
two-year “Pilot Program for Counselling Cooperative Enterprises to Promote Regional Revitalization”

was spearheaded by the MOI. After reviewed and approved by the Executive Yuan on May 21, 2021,
the promotion of cooperative enterprises has been deployed accordingly. The related work strate-
gies include the promotion of cooperative enterprises, cooperative education system, fostering and
facilitation of cooperatives development, capital financing (loan interest subsidy) and exchanges with
international cooperative enterprises, etc.

2022 Exchange of Cooperative Enterprises (Taichung)

39