Tag Archives: Cooperative Societies

AN ASSESSMENT OF THE IMPACT OF COOPERATIVE SOCIETIES IN POVERTY ALLEVIATION IN NIGERIA: A CASE STUDY OF KADUNA SOUTH LOCAL GOVERNMENT AREA

CHAPTER ONE

INTRODUCTION

 

1.0 Background of the Study

In Nigeria today, poverty has become a major problem facing the country. The question has been asked, how can this problem of poverty, which is effecting our economy be alleviated. Several government bodies have been set up to find solution to that. However, it is important to find out what poverty is all about and the meaning of cooperative by different scholars, and merge the two together for us to have a clearer of the purpose of this study.

According to Oxford dictionary, poverty is a state of being poor. It is inability of a household to generate adequate income for the maintenance of the house members. That is to say, it can be defined from the point of view of income, and that is the general intake by which poverty can be evaluated. A Poor person means a person who is unable to find a job, obtain adequate income, unable to own property, and maintain a good healthy condition. This is the sign of poverty we are talking about.

On the other hand, cooperative is a phenomenon that denotes any form of working together voluntarily by persons or individuals to achieve common goals. To narrow it down cooperative refers to the activities of an association of persons with similar social, cultural and economic needs who willingly come together to satisfy these need in solidarity. In other words cooperative was born as a result of reaction against capitalism, competition and injustices that associated with them. Cooperatives is a purely service oriented to their members rather than profit oriented.

The cooperative members integrated their resources, for the satisfaction of their members identified need. Beside, a tree cannot make a forest; people from different places can come together and pool their resources together to satisfy their expectation.

However, based on these, cooperative is the best way of tackling the perennial economic problem of a developing country like Nigeria where a greater percentage of people live below poverty level. This is probably what informs the Federal Government in 1979 to formulate a policy guideline, that at least 25% of Nigerians should become cooperators.

The Danish people saw in cooperative as easier way of improving their national economy, especially after the war with Germany and their humiliating defeat which contributed to national poverty. They went into promotion of the economic interest of their people (Okechukwu 2001). Swedish people embraced cooperation because of the need to improve the economic interest of their people. Everybody was made to participate in one form of chosen economic activity or the others.

In Africa, particularly in Nigeria this has made the Federal Government to have several poverty alleviation schemes such as National Agricultural Food Production Programme (NAFPP), River Basin Development Authority (RBDA), Agricultural Development Programme (ADP), Operation Feed the Nation (OFN) National Directorate of Employment (NDE), Agricultural Credit Guarantee Scheme (ACGS), National Poverty Eradication Programme (NAPED), National Economic Empowerment Strategy (NEEDS) Family Support Programme. (FSP), Better life for Rural Women, family Economic Advancement Programme, and others. Some state government, were not left out in trying to find out how poverty could be alleviated. Cooperatives as socio-economic institutions through their activities are could be a potent tool for poverty alleviation particularly in fighting poverty and unemployment. This could be in the area of agriculture, provision of infrastructural facilities and education.

Therefore in Kaduna State, particularly in Kaduna South Local Government Area, the research activity is conducted so as to know the level or the impact of cooperative in reducing poverty.

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THE ROLE OF CO-OPERATIVE SOCIETIES TOWARDS DEVELOPMENT OF RURAL COMMUNITIES IN NIGERIA

ABSTRACT

This research work was designed to see to the way the areas could be developed through the co-operative society with Idah Local Government Area of Kogi State as a case study, Oral interview were carried out, several book were consulted and also, finding of registered co-operative societies and number of their members were carried out. From the findings, it revealed that those areas with co-operative societies gain more government attention than those without co-operative societies. The study reveals that for a government to achieve all round development empowering co-operative societies should be given utmost attention.

 

CHAPTER ONE

1.1   INTRODUCTION/BACKGROUND OF THE STUDY

The problem of developing the rural area has received the attention of many experts and researchers as well as the government.  This is because it constitutes a serious bottleneck to the socio-economic development of the country as well as the communities.  It is in the light of this, that I have decided to examine how rural areas would be developed with the help or assistance of co-operative societies using Idah local Government as the case study.

Rural development according to Diejomoah (2003) is “ The process of not only increasing the level of per capital income in the rural area but also the standard of living of the rural population measured by food and nutrition level, health, education, housing, recreation and security. Also Rural development according to UNO (1960) is “The process by which the effort of he people themselves are United with effort that of government authorities to improved the economic social and cultural conditions of the rural communities to integrate those community into life of the nation and to enable them contribute meaningful to national development.

Therefore, Rural Development is an integration activity involving the Implementation of programmes of agriculture, health, education, home management, provision of infrastructure and other community facilities under the supervision of the government, its agencies and the local people.

Co-operative society is one of the principal agent of rural development.  It is not only an avenue for job opportunities, but also as a training ground for the rural dwellers and other society and economic benefits.  Hence, it is a strong factor in the nations economic development.

Helms (2005) on the other hand defines co-operative society as an association of persons who have voluntarily joined together to have a common end through the formation of a democratically controlled enterprise, making equitable contribution to the capital required and accepting a fair share of the risk and benefit of the undertaking in which the member activity participate.  On the other hand it could be seen as a voluntarily association of persons having mutual ownership in providing themselves some needed service on non-profit basis usually organized as a legal entity to accomplish objectives through joint participation of its members.

As it is, the problem faced by the rural dwellers in Nigeria today is complex.  It is those in he rural areas who have to produce not only enough for their families but also for industries and urban population.   They also have to produce cash crops either for processing by local industries or for export.  Still they lack the basic necessities of life.

Co-operative is a vital issue in every community in this world.  Place where it has been properly put into effective operation, its members have greatly achieve something from it.  Idah Local Government area is one of the area where co-operative societies have improved the live of its citizens.

Hence assistance should be given to the rural people e.g. Idah people so as to enable them improve politically, economically, socially and otherwise through co-operative societies.

This project therefore, intends to examine rural development, discuss or diagnose strategies adopted by coo-operative societies in developing rural areas.  Examine the problem areas if coo-operative societies and to provide recommendation or solution to the problem so far identified.

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