In Papua New Guinea, savings and loan societies have served the communities since 1962.
Teachers Savings and Loan Society is a part of the International Credit Union Movement that began in the 18th century during the birth of the industrial revolution in Europe. The invention of machines and modern equipment replaced much of the human labor. There was free competition in large scale production while small scale entrepreneurs were slowly put out of service. Farmers and average laborers could not seek assistance from established banks to keep their businesses. The banks at that time would rather invest in large scale entrepreneurs.
This gave birth to Credit Unionism. While there were quite a number of small Credit Unions in those early years, the basic aim of these organizations were to provide short term financial assistance, to alleviate extreme financial stress, experienced by farmers during the industrial revolution.