EQUIPPING CO-OPERATIVES FINANCIALLY THROUGH FEDERAL GOVERNMENT ASSISTANCE (A CASE STUDY OF BANK OF AGRICULTURE, IMO STATE BRANCH)

ABSTRACT

Tanzania and our spirits, interest, enthusiasm and determination towards the development of our co-operative base. A well planned rural development is the answer to rural poverty ignorance superstition and congestion in city centers. A well articulated and planned rural condition to natural integrates co-operative development and economic growth. This will also create awareness and increase the economic standard of the rural population. And it eliminates such plagues as ignorance, poverty, poor standard of living and general backwardness associated with under development.

These issues of infrastructure development which pertinent to co-operative development will include our rural dwellers as long as the rural area are not developed. And one imagines what life electricity, pipe borne water, good road, networks, education facilities, viewing centers and other.

As this juncture, I wish to make it clear that the bank of agriculture (BOA) which I am studying renders both advisory and financial assistance o any farmer or group of farmers.

What BOA does includes,

1. Identify the interested farmers
2. Help them prepare feasibility study
3. Know their problems
4. Grant then loans (financial assistance)
5. Advice farmers on the best project to embark on.

In the introduction, I wish to mention that the BOA Imo branch office has embarked on many programs to educate the farmer within and outside Imo on the best way to promote co-operative development.

1.1 BACKGROUND OF THE STUDY

Co-operative agriculture is the growth of crops and rearing of animals for human consumption. Crops include cash and food crops, seed, seedlings; it also includes those that engage in livestock, horticulture and orderly.

On the either hand, timber production, forestry conservation etc are branches of co-operative have on single origin, this

1.4 RESEARCH QUESTIONS

1. Does the BOA contribute in financing co-operative projects in Imo State.
2. Is there any projects facing co-operative financing.
3. Does the BOA financing co-operative through loans or on tending.
4. How much loans has BOA given to co-operative over the period of 2002-2006.

1.5 SCOPE AND LIMITATIONS OF THE STUDY

The research work is to cover only Imo state zonal branch operative area of Nigeria agricultural co-operative. Rural development bank (BOA) it will not study in detail the activities development time constraints was one of my greatest problems there were constraints and limitation posed by the government bureaucratic.

As a result made things very difficult for me to get all the information required for the project.

Creation of micro finance institution/banks to give out micro and soft loan to co-operative business activities like, farmers consumer shop etc.

THE ROLE GOVERNMENT PLAYS IN FINANCING CO-OPERATIVE

The government plays a fundamental role in financing of co-operative societies, given the fact that co-operative are characterized people who do not have or are into financially buoyant enough to carry out their activities.

Government give co-operative financed leverage in the form of grants, over drafts, soft loans and trade credits.

The role of government to co-operative societies goes along way helping and facilitating their operating of co-operative toward the achievement of the society goals and attiring greater heights in economic development as a whole

2.5 PROBLEMS IN FINANCING OF CO-OPERATIVE

Raising of funds among the co-operative in Nigeria has some impediment,

1. Lack of collateral as demanded by the lauding institutes.

respondents on the roles of government in co-operative financing for affective collection of the relevant data, a questionnaire will issued to the respondent of the selected sample.