Only 726 out of more than 1,500 registered cooperatives in Kathmandu have been found complying with good governance practices by maintaining regular contact with authorities and submitting their annual reports on time.
According to the Kathmandu Metropolitan City, a total of 1,186 cooperatives are currently operating within the metropolitan area. Officials have expressed concern over the large number of cooperatives that have failed to maintain communication with regulatory bodies or fulfill mandatory reporting requirements.
Dhruv Kumar Kafle, head of the Metropolitan Cooperatives Department, said the metropolis has begun the process of taking legal action against cooperatives that remain out of contact and fail to comply with regulatory obligations.
To strengthen oversight and improve governance, the department has assigned ward-level women’s networks a greater role in monitoring cooperative activities. Kafle stated that formal letters have been sent to these networks, entrusting them with responsibilities related to coordination, cooperation, promotion of cooperative principles, business development, and the enhancement of good governance practices.
The initiative is expected to improve accountability and ensure that cooperatives operate in accordance with legal provisions and established standards, particularly at a time when concerns over mismanagement and financial irregularities in the cooperative sector continue to grow nationwide.
