Union home and cooperation minister Amit Shah on Friday launched a national digital database for cooperatives, which he said was a “very important step” for the expansion and strengthening of the country’s cooperative sector.
Shah said a national policy for coordination of cooperative movements in every state was a long-felt need of the country, which had been fulfilled by the Narendra Modi government with the creation of a ministry for cooperation.
“In the last two years, all primary agricultural credit societies (PACS) in the country have been computerised and all states have accepted common bylaws to increase their business,” Shah said.
Under the Constitution’s Seventh Schedule, which divides responsibilities between the Centre and states, state governments have jurisdiction over cooperatives. However, the Centre has control over policymaking for cooperatives that operate in more than one state, known as multistate cooperatives.
At the heart of the push for a cooperatives-led rural economy lies a little-known network of nearly 63,000 rural grassroots financial centres known as PACS. They have been in existence for decades, some since the time of India’s Independence. The Modi government wants to transform these entities, known as PACS, to overcome the challenges of unemployment and spur business opportunities, the minister said.
Under the Modi government’s model bylaws, PACS have become multi-dimensional and can now undertake various business activities. “All states in the country have risen above partisan politics and accepted these model bylaws, paving the way for the expansion of PACS,” the cooperation minister said.
{{/usCountry}}Under the Modi government’s model bylaws, PACS have become multi-dimensional and can now undertake various business activities. “All states in the country have risen above partisan politics and accepted these model bylaws, paving the way for the expansion of PACS,” the cooperation minister said.
{{/usCountry}}Besides the portal, Shah also launched a book, “National Cooperative Database 2023: A Report”. The latest computerisation initiative will increase the operational efficiency, accountability and transparency of cooperatives by “standardising business procedures through a Common Accounting System (CAS) and Management Information System (MIS)”, an official said separately.
Digitisation will also reduce transaction costs, facilitate loan distribution to farmers and enable real-time data access for better monitoring and assessment of schemes, the minister added. PACS are also being enabled to offer digital services to customers.
The cooperation ministry has set up a national cooperative database, containing data of more than 800,000 cooperative societies in all.