NONSTATE INSTITUTIONS

AND ORGANIZATIONS
 The private sector, as well as other nonstate
actors, perform roles that complement the state
and the markets.

In fact, some of the nonstate institutions are

also major players in state or market-related
activities.

Some of them operate locally, while some at the

global level.
Overarching Question:
1. What are the different processes and
organizations that are nonstate?
2. Why are nonstate institutions and
organizations important to society?
Difference between Organization & Institutions:
Organization
Refers to a formally constituted entity, composed of
individuals performing a set of functions for
achievement of a certain mandate, obligation, or task.
Ex. Bank, corporation, or development agency.
Institution
Refers to structured domain of norms, rules, and
practices that gives a sense of order to a specific set of
relationships.
Ex. Religion, kinship and family, friendship and
association, popular culture, rituals and knowledge
systems.
Institutions govern a given society or
community.
Most of the relevant institutions are those
that are based on the community and are
embedded in community practices, and
operate in the everyday lives of the people
and not at the domain of the state.
The following are considered as the
different institutions in our society:
Environmental world views – the system of beliefs as
well as perceptions of the people vis-à-vis the forest
resource (how they see it in relation to their lives)
Knowledge System – the system of knowledge that
governs how the people engage the resource,
particularly in terms of the technology employed to
extract products from it. It also includes the body of
information, which is usually traditional in
character, used in interacting with the resource both
as sources of products and services, as well as
sources of symbols for their rituals.
Tenurial and property systems – the manner by which
the community defines the rules who has access to and
control of resources.
Conflict Management systems – the manner by which
the community manage its conflicts vis-à-vis various
issues, including the conflict that arise from the use of
forest resources.
Association systems – the various system that define
the manner individuals establish relationships among
them in the pursuance of a common interest, such as
production and social security. Generally, this entails a
norm that guides interpersonal conduct, and would
include reciprocal institutions such as the form of
exchange labor like bayanihan or turnohan, or patron-
client relationships.
State Organizations:
Executive Branch – the Office of the President
and the departments under the Office of the
President.
Legislative Branch – the Senate and the House
of Representatives.
Judiciary
Arm Forces and the Police
Constitutional Commissions – COA, CSC,
COMELEC
Local Governments
Non State Organizations:

Market or Economic Organization

Civil Society Organizations
Market or Economic Organization

Include the corporate environment users,

such as corporations use the resource for
profit, and not for subsistence.
Also included are the financial institutions
such as banks, both local and foreign
transnational, which provide funds to finance
the implementation of policy through
development projects and programs by the
government as well as the private sector.
Cooperatives and trade unions
Banks
A financial institution that lends money
both to public as well as private
organizations.
Government borrows money from banks
to finance its development activities, while
private companies and individuals
borrow money to fund their investments
or personal development.
Types of banks
Savings – low-wage/monthly salary people
Commercial – collect money from various people and give
the same as loan to business men.
Industrial Development – committed toward enhancing
the growth of industries by providing loan for a very long
period of time. Vital for the long-term growth of
industries.
Land Development Bank – promote growth in the food
sector by giving loans to farmers at lower interest.
Indigenous Banks – (native banks) normal moneylenders
but this time handling huge amounts of money for loan for
a short amount of time.
Mortgage Banks – provide mortgage loans alone.
In order to sell loans they depend solely on the
secondary market.
Spare Banks – present in Norway. Promote both
savings and commercial facilities to both people
and organizations in Norway.
Federal or National Banks – control the principles
and policies of the banks across the country.
Provide benchmark.
Cooperative Banks – gets money from general
community without any bias and provide loans to
all sections of people in the neighborhood. Their
motto is profit not profit alone, but service.
Exchange Banks – available in more than a single
country. They provide services for buying and selling of
gold and silver, transaction will be in foreign country.
Consumer’s Bank – consumer-friendly bank,
encourage the consumer in buying commercial
products and provide options for easy repay of the loan
amount.
Community Development Banks – provide services to
the community where there has been nothing or very
little development over the years.
Credit Unions – just like cooperative bank except they
provide services to only one employee union in the
community.
Postal Savings Bank – oriented with postal services.
People save money for a defined period of time and
are paid with standard interest rates.
Private Banks – not for the general public. They are
for private personnel’s assets and transaction alone.
Offshore Banks – also private banks except that
they have little tax to pay for their transactions;
very little regulation for this bank.
Ethical Banks – promote candid transactions;
between various customers of the bank. Policies and
rules are transparent in nature.
Internet Banks – provide banking facilities only via
internet. No physical contact with the bank.
Investment Banks – These banks are for large
organization’s investment ventures across the
industry. They provide advice on investments and
promote corporate tranactions.
Merchant Banks – exist for a long time. Promote
investment in organizations that reap huge benefits
for a long time rather than brand new
organizations.
Universal Banks – wide spectrum of financial
assistance. From insurances to stocks, they promote
everything across all countries around the globe.
Islamic Banks – based on the principles of religion
Islam. No interests for loans acquired from these
banks. Service charges may apply.
Corporation:
Refers to a broad category of non state
organizations representing a company or group
of people that engages in lawful activity in
relation to public function, such as the provision
of a good or service to the larger society.
Can operate for profit, or it could be non profit.
Stock corporation – ownership through
stockholders who own particular shares.
Non stock corporation – owned by members
that join the organization.
Cooperative:
Refers to autonomous association whose
membership is voluntary toward the attainment of
common economic, social and cultural needs or
aspirations.
Credit cooperative – provide credit facility to
member
Consumer coop – medium for the selling and
purchase of goods and services, from where
patronizing members get a share of the profit from
their own collective purchases in the form of
patronage products.
Cooperative can also serve to provide public
services, such as an electric cooperative.
 Several types of cooperative:
Housing cooperative – residents either own shares
reflecting their equity in the cooperative’s real
estate, or have membership and occupancy rights
in a not-for-profit cooperative. May either be a
building, retailers or utility cooperative.
Worker cooperative – owned and democratically
controlled by its “worker-owners”.
Consumers’ coop – own by its customers.
Employees can also generally become members.
Agricultural Coop – widespread in rural areas.
 Civil Society Organizations:
Academic and Science-Based Organizations –
include universities, schools, and colleges;
private polling firms which use statistical
methods in conducting opinion polls to guide
advocacy and decision-making.
Mass Media – (print, radio, television)
Religious Organizations – provide effective
venues for commentary and issue advocacy, and
for moralizing the issues and agents involved in
the environmental policy process.
Non Governmental Organizations -
third-party mediating organizations
that facilitate action. Most of them
are involved in advocacy.
People’s Organizations – grassroots-
based organization composed of
people who are really in the
community and are directly involved.
International Development and Global
Processes.
Many development issues have
become international in scope that
they involve the participation of
many countries.
The Philippines, just like any other
country, is confronted with many
serious problems, most of which are
diverse causes an even more diverse
consequences.
Poverty threatens the security of our economy.
Conflict among groups are serious threats to our
nation’s political security.
Agricultural problems caused both by human and
natural factors pose serious threats to our food
security.
Continuing pressure on the environment resulting
from the needs of development have led to the
environmental degradation and have severely
threatened our environmental security.
These issues emerge in the context of globalization,
wherein a global system of market forces and the
demands of global partners could provide limits to
the options of independent and sovereign state like
the Philippines.
 Global Organizations:
Their operation influence the development of entire
countries.
Funders or Donors
Include multilateral and bilateral organizations
They operate by giving loans or grants to other
countries which are referred to as official
development assistance (ODA). Loans have to be
repaid, while grants are paid back.
World Bank (WB)
International Monetary Fund (IMF)
Asian Development Bank (ADB) (Manila)
Bilateral organizations are
effective conduits by which
foreign countries can influence
the development priorities of
other countries, since they
attached policy conditions to
grants and loans