Introduction - Genossenschaftsverband Bayern

ment. For, according to calculations of KfW concerning the employment
effect of KfW support loan programmes, enterprises on average
hired seven employees for every million Euro of investment. (KfW
Bankengruppe (KfW Banking Group): KfW-Research, Wirtschaftsobserver
Nr. 3, 2002). So, only through the LfA support loans arranged
by the Bavarian Volksbanks and Raiffeisenbanks since the year 2000,
14,000 new jobs were created in Bavaria.
5 Creator of wealth
The Bavarian Volksbanks and Raiffeisenbanks are among the most
important banks as far as deposit banking in the Free State of Bavaria
is concerned. At the end of 2006, the volume of managed customer
deposits amounted to 131,000 million Euro. Thereof, 82,600 million
Euro were on-balance sheet deposits. That means that every fifth
Euro deposited in Bavaria went to a Volksbank and Raiffeisenbank.
Among them, money deposits of 77.7 million Euro had the largest
share. Accordingly, 18 per cent of all deposits amounting to 433,000
million Euro in Bavaria were placed with a Volksbank and Raiffeisenbank.
In comparison: in deposit banking, savings banks had a market
share of just under 26 per cent, credit banks over 34 per cent and
other banks 19 per cent.
Compared to the 18 per cent market share in deposit banking, the
Bavaria Volksbanks and Raiffeisenbanks have a market share of
32 per cent concerning market penetration of savings products.
Accordingly, their market penetration lies far above their market
share volume-wise. That shows: Bavarian Volksbank and Raiffeisenbank
are active along the whole spectrum of banking services for private
customers. They focus not just on the wealthy segment of society,
but through their policy, they contribute to making formation of
wealth possible across all social strata. They thus promote a basic concept
of Erhard’s Social Market Economy and take over an important
supportive function for private retirement accounts.
4 Financier of the SME sector
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