CO-OPERATIVE AS AN INSTRUMENT FOR POVERTY ALLEVIATION (A CASE STUDY OF UMUAHIA NORTH)

CO-OPERATIVE AS AN INSTRUMENT FOR POVERTY ALLEVIATION (A CASE STUDY OF UMUAHIA NORTH)

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

In this chapter, the following issues will be discussed: Background of the study, Statement of the problems, Purpose of the study, Research questions, Scope of the study, Limitations of the study etc.

Co-operatives is sometimes regarded as an autonomous association of persons united voluntarily to meet their common economic, social and cultural needs and aspirations through a jointly owned and democratically controlled enterprise. They are based on values of self help, democracy, equality, equity and solidarity. Co-operative members believe in ethical values of honesty, openness, social responsibility and caring for others.

However, people pool themselves and their resources together as a result of their inability to solve their problems by themselves. This inability of individuals militates against the economic development of the society and this leads to the common man. Adequate measure and policy should be put in place as a solution. The government of Nigeria has tried to alleviate poverty through the introduction of several programmes and measures. To better the lives of the masses the Nigeria government a lot of programme such as Family Support Programme (FSP). Better Life Programme for the Rural Women (BLW). Family Economic Advancement Programme (FEAP)etc. The government had also intensified co-operative society as channel through which these programmes could be implemented properly. Co-operative is also seen as the means through government incentives and aids can get to the grass roots level and proper result achieved.

It is however at this point that this project tends to review the role of co-operative in poverty alleviation.

Many advance societies have embraced the co-operative form of enterprise while other are embracing it at a fast rate. This is based on the belief that the organization has a lot to offer. No doubt, co-operative can enhance the standard of living of people. Historically, co-operatives have developed in response to some difficult situation. The under-privileged people can gather together to protect themselves by providing things through joint action.

The general low income of most people in the rural areas is a pre-requisite for group action. Co-operative organization is seen by the government as a tool that is capable of supplementing government efforts in raising developmental capital and thereby assisting the growth of the economics.

CO-OPERATIVE AS AN INSTRUMENT FOR POVERTY ALLEVIATION (A CASE STUDY OF UMUAHIA NORTH)