Rajasthan's New Cooperative Code: A Reform for Transparency and Growth

The Rajasthan government is gearing up to usher in a new era of cooperative reforms, drafting a new Cooperative Act to replace the 2001 version. This initiative aims at boosting transparency, streamlining processes, and tightening oversight of cooperative societies.

Key features of the proposed 'cooperative code' include simplifying operational procedures, reinforcing democratic management, and fostering business growth opportunities. A five-member committee has been tasked with studying successful cooperative models from other Indian states as groundwork for the legislative overhaul.

Expected changes include the elimination of monopolistic practices, the expansion of marketing rights, and the lifting of shareholding caps. The Act also plans to bolster financial scrutiny by mandating prompt audit reports and establishing a regulatory board for credit societies, ensuring the protection of both depositors and society members.