“NCUI President talked about the problem being faced by RBI’s different approach towards co-operative banks… Such issues were discussed point by point with RBI chief and finance minister. Positive discussions took place and decision is in pipeline. He The decision will be in our favour,” Verma said.
Union Minister of Cooperation Amit Shah Had a meeting with RBI chief and finance minister. Talking to PTI after the event, he said, “Not only those related to education loan but also other issues like income tax were discussed in a positive manner which were a hindrance for the cooperatives.”
“Why are cooperatives treated differently from the private sector? This issue was brought up to them,” he said.
Verma said that realizing its role in nation building, a new ministry has been created for cooperation. Co-operative societies can run not only small businesses but also large businesses.
Co-operative banks need to be upgraded with technology to provide 365 days banking services. He said that there is also a need to expedite computer training of manpower to work in cooperative societies in a professional manner.
He said that with the objective of expanding the cooperative movement in the country from the present level of about 8.60 lakh cooperative societies with more than 30 crore members, a Ministry of Co-operatives has been created.
Verma also unveiled ‘Sahakarita’, the monthly magazine of NCUI, on the occasion of the inauguration of the 68th All India Cooperative Week.
The issue of RBI’s disparity towards cooperative banks was raised by NCUI President Dilip Singhani in his address listing the hurdles faced by the sector.
“RBI has a different approach towards co-operative banks as compared to private banks. A student will not get subsidy on education loan for his foreign studies from co-operative bank unlike private sector. Is this right?” he said.
Singhani said there is “inequality” towards cooperatives and hoped that would change with the establishment of the new ministry.
He said that there is not a single village in India where cooperatives are not working. The development of the country is possible only through cooperatives, but issues like income tax are in the way.
He said that cooperation in India started in 1904 during the British period. IFFCO, along with Anand Milk Union Limited (AMUL) went ahead successfully after the country’s independence, he said.
Singhani expressed hope that the new cooperation policy that is being prepared will instill confidence among the people about the role of cooperatives in the development of the country and will open new avenues for the youth.
NCUI Chief Executive Sudhir Mahajan said that the Sahyog Sangh has taken steps to strengthen the affected cooperatives during the COVID-19 pandemic.
He said that around 41 sectoral projects have been implemented to empower small support groups, a skill development center is being constructed in Noida to train youth and even NCUI campus in Delhi. Haat has also received a good response in the last three months.
In addition, NCUI has signed four MoUs for skill development and motivational training, apart from tying up with Zeroda’s RainMatter Foundation.
He said that NCUI has set a target of setting up 50 model villages in the next five years and has set a target of setting up NCUI Haats in 20 states in future.