El National Institute of Associations and Social Economy (INAES) is the authority in charge of applying the cooperative and mutual legal regime that has exclusive and non-transferable institutional-corporate powers and attributions in matters of cooperatives and mutuals throughout the country, its main and superior purpose being the appropriate and timely promotion, development, supervision, and sanction of the same.

A a cooperative It is an autonomous association of persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly owned and democratically controlled enterprise.

In Argentina, the mutual They are governed by Law No. 20.321 and by various resolutions issued by the competent body in the matter: the National Institute of Associativism and Social Economy, INAES.

Mutuals are non-profit entities, service providers, supported by the contributions of their members, acting with the seriousness and efficiency of companies, where a group of people freely associated, under a specific legal form, meet to solve common problems, guided by solidarity and with the aim of contributing to the achievement of the material and spiritual well-being of its members.

Article 2 of the Mutual Associations Act No. 20.321/73 establishes that they are non-profit associations. For its part, Article 115 of the Cooperatives Act No. 20.337/73 clearly and explicitly prescribes the cooperative parameters and, additionally, for mutual associations with respect to the money loans they make to their members.

Specifically, in these cases the total interest or financial cost must not exceed by more than one (1) point the interest rate of the Banco de la Nación Argentina and, in all cases, said loans must have the corresponding administrative authorization which, obviously, is always subject to and subordinated to the related legal provisions as well as to the constitutionally pre-established limits for all regulation of principles, guarantees and rights inherent to them.

To boost the sector, the institute provides microcredits, develops promotional coordination programs, financial aid programs, among others.

Organizational structure of INAES

The Institute has a President and a Board of Directors. In addition, in terms of operational matters, it has:

• Technical Coordinators of the Board of Directors, General Federal and Regional Council, Institutional Relations.
• Secretariats of Control, Development and Promotion.
• Training and Promotion, Inspection, Interventions and Violations, Administration and Finance, Registration and Legislation Departments.

INAES is the agency dependent on the Ministry of Social Development, which exercises the functions that are the responsibility of the State in the areas of promotion, development and control of cooperative and mutual action.