'Cooperatives is the foundation of economic prosperity'

By Hariprasad Koirala

Urlabari, May 11: Senior Vice President of the National Cooperative Federation, Ramesh Prasad Pokharel, said that only those cooperatives formed out of vested interest groups are facing crises.

Speaking at the inauguration of the 21st Chairperson-Secretary Workshop organised by the District Savings and Credit Cooperative Union Ltd., Morang, held in Sundarharaicha, on Saturday, he said that cooperatives are the foundation of economic prosperity. He stressed that cooperatives should focus on serving their members rather than solely aiming for profit or income.

Pokharel said that there are no cooperative-related issues in 50 districts across the country. However, cooperatives in rural areas are often criticised due to the problems seen in urban-based cooperatives, he added.

He asserted that in a country where democracy is strong, cooperatives should not face problems. “Some cooperatives are facing issues due to their failure to follow proper rules and adopt modern technology,” he said.

He further said that savings and credit cooperatives are at the forefront of the cooperative movement and said, “The tree that bears fruit gets hit by stones,” indicating that those who succeed often face criticism.

Pokharel said that cooperatives are not just about collecting money but about becoming entrepreneurial and self-reliant.

Chairperson of the Nepal Federation of Savings and Credit Cooperative Unions Ltd. (NEFSCUN), Chandra Prasad Dhakal, said that a single cooperative law cannot govern all types of cooperatives. He added, “The idea of a three-pillar economy alone cannot sustain cooperatives.”

He added that savings and credit cooperatives are ready to pay taxes, and that the government should clarify the extent of their contribution to national revenue. He also stressed that NEFSCUN is playing a parental role for savings and credit cooperatives and will continue to do so without deviation. NEFSCUN is currently holding serious discussions with all government bodies to find solutions to the problems in the sector, he added.

Former Member of Parliament and former General Secretary of NEFSCUN, Ghanshyam Khatiwada, said that cooperatives are the true place to practice democracy. He added that with 34,000 cooperatives across the country, there is no need to panic just because 30 to 35 are in trouble. He urged cooperatives to focus more on membership than on profit and expressed that communities can no longer be imagined without cooperatives.

During the programme, former Chairperson of the Asian Confederation of Credit Unions (ACCU) and cooperative expert member of the Cooperative Reform Suggestion Taskforce 2080, formed by the Government of Nepal, Rishiraj Ghimire, presented a paper on “Current Issues in SACCOs, Responsibilities of the Government and the Movement.”

Out of the 262 cooperative institutions affiliated with the union, around 300 representatives from 200 cooperatives participated in the event.