Role of Cooperative in Income Generating Activities for Rural Development A Case Study of Haripur Municipality, Sarlahi District

Abstract

Cooperative is considered as a member based autonomous financial institution with welldefined norms and principles of cooperation, voluntarily participation, self-help, mutual

benefit. Cooperative has been identified as a potential component of Nepalese three pillar

economy.

The paper incepts in the role of cooperatives in income generation of rural people inside a locality of municipality for sustainable rural development. It was observed that cooperative role is not only on poverty reduction but also in raising social awareness and rural development where banking facilities are far away from the rural people. Cooperative can be effective, if institutional arrangement for breaking the vicious cycle of poverty in the rural socio-economic context through increasing income generation and social awareness is followed as per social and economic developmental situation simultaneously. Under effective supervision and guidance by the members, if cooperative can be well managed and strengthened; it can potentially strengthen the domain of transferability of rural community and there forwards to contribute to sustainable rural development. The present study is focused on assessing the role of co-operatives running in Haripur, Municipality of Sarlahi, district. Based on the hypothesis of significant and positive role in income generation of rural people, the researcher investigated into the programs and activities delivered by cooperatives to enhance rural people as well as women's participation in income generation, decision making and developing interventions. The researcher brought the components such as family background, family size, education, family income, investment and yearly savings as separate variables for the study. Direct field study, observation and questionnaire, survey method was conducted to get information about cooperatives role in Haripur, Municipality of Sarlahi, district. Role of cooperatives in the daily life and socio-economic status of cooperative members were studied through discussion with cooperative members, officials of cooperatives and local leaders. World scenario of cooperative role in income generation is mostly positive and progressive and the similar results are found from this study as per their socio-economic status and changes due to engagement in cooperatives activities, so it should be promoted to the rural community as it binds the rural people to achieve common social and economic goal together.