Additional support to cooperatives vital

Reports that over 600 cooperatives are at risk of losing their licences for failure to conform to the newly amended cooperative law, is a wake-up call to all cooperatives to put up with the regulations. In any event, such regulations are put in place for their interest.Without a doubt, cooperatives are significant economic actors in the economy and create and maintain employment. Among other significant contributions to the country’s well-being is work solidarity, poverty reduction, and social integration. Many Rwandans have drawn their livelihood either directly or indirectly from co-operative-based enterprises. More importantly, the co-operatives have also been recognised as key drivers in achieving Vision 2020, and the Millennium Development Goals.However, many co-operative societies countrywide have been bogged down by instances of maladministration and ineffectiveness. Sadly, given the dominance of agriculture in the economy, the cooperative phenomenon has come to be considered under the sense of rural and agricultural development, so much so that today, the fortunes of the cooperative movement could make or break the rural economy.Also, lack of adequate skills among members and respective managers in many of the country’s cooperative societies have led to a significant loss of focus both among those responsible for the extension or facilitation of cooperative skills. More regretfully is the fact that many members have at the end lost their hard-earned money to due to poor administration.It is hence essential for the regulator, Rwanda Cooperative Authority, to continue supporting the cooperatives by creating a conducive environment to let them thrive to not only contribute to the economic development but also ensure food security in the country.

Opinions

Additional support to cooperatives vital