Calyon has been active in China for more than 100 years, and is one of the longest-established foreign banks in the country. It is among the first banks authorized to process transactions in yuan. It has participated in many infrastructure, financing and investment projects in China and is working on strengthening its relationships with its local partners.
 
True to the values of Crédit Agricole Group, which began life as a cooperative institution making agricultural loans in 1894, Calyon is seeking to develop long-term relationships with its clients and to advance solutions that serve the interests of the larger society. On November 13, 2007, Calyon Fixed Income Markets Asia invested in a three-year partnership with Heifer International to help many households in the Yunnan Tengchong region.

Calyon was also the main partner in the 2007 Race to Feed. This annual event gathers funds to finance the Heifer program in China. The race gives Calyon personnel an opportunity to show their solidarity in the fight against poverty.

Heifer International is a non-profit organization that develops programs to fight poverty in more than 50 countries. Its special emphasis is on helping rural communities while instilling in them a spirit of environmental responsibility. It trains them not only in agricultural techniques, but also in preserving the natural environment.

This project is designed to extend interest-free loans of USD 626 (RMB 5,000) to each of 200 poor households in Tengchong County to buy pigs, goats, sheep, dairy buffalo, Asiatic buffalo and cattle. Of Tengchong’s agricultural population of 480,000, 21.5% have annual per capita income of USD 115 (about RMB 920). Most beneficiaries of the project belong to the Lisu ethnic group.

Tengchong County is in China’s Yunnan Province, and borders Myanmar (formerly Burma). It is a part of the Gao Li Gong National Nature Reserve, which the World Wildlife Fund has designated as an internationally important reserve. The reserve is 52% forest, which is home to more than 14,000 plant species. Most families in the region covered by the project own a parcel of forest, and have replanted trees. However, because of their lack of ecological knowledge, the species that were planted were not sufficiently varied, so that the forest’s rate of regeneration was rather low.

The Conservation Office of the local Gao Li Gong community has joined in on the project to supply families with a variety of endangered native plant species. The trees that are re-planted constitute a varied forest that will re-establish biodiversity while conferring economic advantages on the families involved in the project. Farmers will gain awareness and training in conservation of biodiversity and basics of managing natural resources.

Heifer International will undertake similar awareness and prevention actions with local populations concerning drugs and HIV/AIDS. Finally, the families commit to lend the same amount of money in two to three years, to help other families under the program. The knowledge and know-how will be passed on to these families too.

As a major regional player and a front-line observer of economic and social realities, Crédit Agricole upholds the values of local involvement and solidarity. Its actions aim to contribute to fair and responsible development, guarding clients against exclusion from the banking system, supporting professional microcredit in France and developing microfinance globally.

Microfinance projects such as those of ICAR are carried out internationally. This association was created by the Caisse Régionale du Nord-Est and grain industry professionals. Thanks to the support of seven regional banks and Crédit Agricole Solidarity and Development, it is currently helping to develop three microfinance networks in Madagascar. It specializes particularly in consulting services, including for restructuring networks, training, sponsorships, audit, accounting, etc. It intends to invest over EUR 1.4 million between now and 2009.

This commitment led to the launch of the Grameen Crédit Agricole Microfinance Foundation in February 2008 by Grameen Trust and Crédit Agricole. This foundation’s purpose is to fight global poverty through financial and technical support to microfinance institutions (MFIs) in developing or emerging countries. With EUR 50 million available, it provides the complete range of financing to these institutions – credits, guarantees, capital – as well as a platform for consulting, discussion and technical assistance.