The Ministry of Cooperatives and MSME Development is fast-tracking the implementation of the Cooperatives Bill, 2024, currently under consideration in the Senate, aiming to revolutionize governance within the cooperative sector. The proposed legislation seeks to enhance transparency, accountability, and ethical leadership through a series of stringent measures.
Key features of the bill include elevated educational and competency requirements for cooperative leaders, ensuring that those in positions of authority have the necessary expertise to make informed decisions. It also proposes stronger oversight mechanisms, regular independent audits, and robust anti-corruption measures to fortify the sector.
CS Wycliffe Oparanya emphasized that the reforms are designed not merely for compliance but to cultivate resilient institutions capable of thriving amid growing competition from both public and private financial entities. “The Bill enforces self-regulation and introduces strict penalties for non-compliance, all aimed at restoring trust and ensuring sustainability,” he stated during a national cooperative leaders forum organized by CAK.
As the cooperative movement stands at a crucial juncture, the success of these reforms will largely depend on the willingness of cooperative societies to embrace change and prioritize good governance.
Nelson Kuria, Chairman, CIC Insurance Group, reminded cooperative leaders that 2025 will be the United Nations International Year of Cooperatives, highlighting the need for a renewed commitment to cooperative principles. Kuria urged leaders to elevate the movement to new standards of excellence and sustainability, enabling it to compete effectively with larger corporations.
“The cooperative movement must be prepared to face increasing competition from both public and private sectors. This endeavor requires strategic thinking, innovation, and a steadfast commitment to ethical leadership,” he said.
