Prof. Fred Freundlich on the Mondragon federation

The Mondragon federation of co-operatives has been the foundation of the economy in Spain's Basque country for decades. It was founded back in 1956 by a priest - José María Arizmendiarrieta  - who believed that the best response to the hostility and neglect of the region by the fascist dictator Franco was to develop co-operatives that relied on mutual self-help and independence.

Today there are 96 co-operatives which are members of the federation, employing more than 81,000 people. The federation includes manufacturing businesses, financial institutions, retailers and its own university - which operates as a knowledge, research and development centre for the group. Mondragon is the largest business operation in the Basque region and one of the ten largest commercial organisations in Spain.

There are similarities and differences between the Basque region and Northern Ireland. It is the similarities that have led many people over the years to ask if the Mondragon example could inspire a comparable movement here. The positive experience of credit unions - financial co-operatives - in Northern Ireland provides hope that it might.