KATHMANDU, Jan. 29: The government is set to issue guidelines on cooperatives´ merger by mid-January with a view to further managing and strengthening the cooperatives sector.
Currently, there are around 26,000 cooperatives operational across the country.
The guidelines are being prepared under the leadership of the Cooperatives Department with the objective of integrating the saving and cooperatives organizations in the urban areas and preventing them from financial bankruptcy.
Kedar Neupane, Registrar of the Department, said it was a working procedure rather than guidelines and the department was at the stage of issuing it within two weeks. Almost all processes for the cooperatives merger guidelines have been concluded, he added.
He said the big cooperative organizations have invested large amount of their capital in the land and housing sector and the working procedure is expected to minimize the risk of financial crisis in these organizations.
There are around 11,000 cooperatives based in the urban areas and of them around 5,000 are operational in Kathmandu, Lalitpur, and Bhaktapur districts.
As many as 60,000 people are directly employed by the cooperatives whereas around 600,000 have been benefitted from them.The total capital of the cooperatives has reached Rs. 250 billion