CBN Explains Low Growth Of Cooperatives

Central Bank of Nigeria (CBN) has identified lack of sincerity of purpose as the major factor hindering the growth of cooperative organizations in the country.
The Head, Financial Development Department of the apex bank at the Federal Capital Territory (FCT), Mr. Nuhu Muazu, who stated this at a Cooperative stakeholders to tackle the issue of insincerity.
“What is killing cooperatives in Nigeria is lack of sincerity of purpose. Many people rush to form cooperatives when they hear that the Federal Government is giving out intervention funds.
“People come up with lots of motives that are not genuine. At the end of the day, the cooperative will die, I only hope we will learn and change from this attitude. I am appealing that we should ensure sincereity and be genuine in our endeavours”, Muazu said.
Also speaking, Mr. George Ogudu of the Financial Inclusion Secretariat of CBN, said it was collaborating with the Cooperative Financing Agency of Nigeria (CFAN) to reach out to more people at the grass root.
According to Ogudu, financial inclusion is a way to capture people in the rural areas, who have no formal access to finance and away of reducing poverty level in Nigeria.
He said the Bank chose to partner with CFAN because it had members in all parts of the country adding that the CBN had a lot of interventions that would help the poor come up to a level where they would be able to live better lives.
Ogudu also said the only way cooperatives could key into these interventions is for them to key into the CFAN, which is a known and registered body for the cooperatives.