Cooperative-Related Reports Released; Discussions Held on Implementation Process and Timeline
The Ministry of Land Management, Cooperatives, Federal Affairs, and General Administration has announced that it will prioritize implementing recommendations based on reports identifying lax government oversight as the main cause of problems in cooperatives. The report of a commission formed to study irregularities in cooperatives was made public on Thursday. The commission proposed various recommendations, including closing additional branches of cooperatives with multiple branches and granting new registrations only after conducting feasibility studies once issues have been resolved.
Former secretaries who previously held responsibilities in the cooperative ministry described the report positively but noted that due to historically weak implementation, problems persist. They emphasized the need for the current government to focus on enforcing the recommendations. To study cooperative sector irregularities, an interim government led by Sushila Karki established a commission in the first week of Magh (January) under former High Court Justice Vinod Prasad Sharma’s leadership. Although multiple previous commissions, study committees, and task forces have been formed to address cooperative issues, their reports have not been effectively implemented.
The “Investigation Commission on Irregularities in Cooperatives 2082” report concluded that the primary reasons for crises in the cooperative sector are weak regulation, political interference, and lack of transparency. It identified that some management officials diverted from the core objectives of cooperatives by embezzling and misusing depositors’ funds through opaque transactions. The report also highlighted a lack of coordination among multiple regulatory bodies, ineffective information systems, financial indiscipline, poor governance, and shortage of skilled human resources as major challenges facing the sector.
Minister of Land Management, Cooperatives, Federal Affairs, and General Administration, Pratibha Rawal, stated that the ministry will carefully study the report’s recommendations and emphasize effective implementation. She said, “We will implement the suggested measures as quickly as possible. Some actions may be delayed, while others will be immediate. However, we will certainly ensure implementation. This is the responsibility of the state.” Former secretary Gopinath Mainali also acknowledged the recommendations as constructive and stressed the government’s need to focus on their enforcement.
