CO-OPERATIVE DEVELOPMENT ACT
Act · Finance
An Act provides the legal framework for registering and managing cooperative societies in Nigeria. It targets members of cooperatives and state registrars. This promotes economic development through mutual resource pooling.
CO-OPERATIVE DEVELOPMENT ACT
What Is This Policy?
An Act providing the legal framework for the formation, registration, management, and dissolution of cooperative societies in Nigeria, enabling citizens to pool resources for mutual economic benefit.
Who Does It Target?
Members of savings, credit, and production cooperatives State cooperative registrars and officers Agricultural cooperatives and farmer groups Microfinance institutions lending to cooperatives
What Does It Aim to Achieve?
Promote the cooperative movement as a vehicle for grassroots economic development, savings mobilisation, agricultural production, and small business support.
Key Features
Registration: Cooperatives must be registered with the relevant state cooperative registrar to have legal personality. Governance: Prescribes democratic governance with elected management committees accountable to all members. Audit: Registered cooperatives must maintain proper accounts audited annually. Dissolution: Provides a fair process for winding up cooperatives and distributing assets to members.
Current Status
Rollout Stage: Active Coverage: Nationwide cooperative sector Beneficiaries: Cooperative members; rural and urban savings groups Funding: Member contributions
How to Access
A minimum number of founding members required to register a cooperative Apply to the State Department of Cooperative Development Governing rules must be approved at registration Application method: Apply at your State Ministry of Commerce and Industry (Cooperative Division).
Important Terms
Cooperatives are member-owned and member-controlled Fraudulent conduct by cooperative officers attracts criminal prosecution Annual audit reports must be filed with the Registrar
Official Resources
Website: https://www.miti.gov.ng Contact: Federal Ministry of Industry, Trade and Investment / State Cooperative Departments
Legal Framework
Enacted under the legislative powers of the National Assembly as the Co-operative Societies Act (Cap C34 LFN 2004). Operates alongside the Companies and Allied Matters Act (CAMA) 2020, the Land Use Act 1978, and the National Co-operatives Policy. The Central Bank of Nigeria Act and the Agricultural Credit Guarantee Scheme Fund Act support co-operative financing. Aligns with International Co-operative Alliance (ICA) principles and guidelines.