Gandhinagar: After implementing the pilot in Banaskantha and Panchmahal districts earlier, the Gujarat government has decided to extend the ‘Cooperation Among Cooperatives’ initiative to all 33 districts of Gujarat. The initiative aims to enhance collaboration among multiple cooperative societies by unifying their bank accounts and deposits under District and State Cooperative Banks. In the scheme, the existing bank accounts of cooperatives and their members from various commercial banks are consolidated into a single District Cooperative Bank or State Cooperative Bank.

Consolidating the funds of these cooperative societies into one central bank results in a larger pool of funds available for loans, improves financial stability among cooperatives, meets their borrowing needs, and ensures that the pooled funds benefit all cooperatives.

Between June 2023 and January 2024, Gujarat launched the pilot initiative in Banaskantha and Panchmahal districts. During the pilot period, the existing bank accounts held by 1,048 Milk Societies affiliated with Milk Unions were consolidated into the District Central Co-operative Banks, along with the complete transfer of surplus funds into their new bank accounts. The two districts saw the opening of over 4.7 lakh new savings accounts in the cooperative banks, enhancing the existing deposits of these banks by a significant ₹966 crore.

A total of 3.32 lakh RuPay debit cards were also issued to the societies and their active members. To enhance banking facilities and financial liquidity at the village level, a total of 1,736 societies in these districts, including prominent Milk Societies affiliated with Milk Unions, were equipped with micro-ATMs and affiliated as Bank Mitra.

Commission rates have also been established to ensure these societies generate substantial income, incentivizing the effective utilization of micro-ATMs. Considering the challenges faced by members in accessing financial services, over 1,631 employees associated with the cooperative societies were also given comprehensive training on digital transactions, including micro-ATM operations, cash withdrawals, and deposits. DeshGujarat