By Francis Akinnodi

Ondo State Cooperative Federation (ODSCOFED) Limited has said that cooperative system has progressed as a powerful mechanism for the realization of economic growth.

President of ODSCOFED,  Michael Olowoyeye said this while speaking with The Hope in Akure recently.

He noted that cooperatives provide a unique tool for achieving one or more economic goals in an increasingly competitive global economy.

Olowoyeye said, “Cooperatives are being considered useful mechanisms to manage risk for members and keep markets efficient.

“With regards to economic and social development, cooperatives promote the fullest participation of all people and facilitate a more equitable distribution of benefits of globalization.

“It contributes to sustainable human development and have an important role to play in combating social exclusion, thus, the promotion of cooperatives should be considered as one of the pillars of national and international economic and social development”, he said.

Also, the executive secretary of ODSCOFED, Deacon Ola Olayode said out of all the principal roles of cooperatives, lending remain most important through which cooperatives provide capital to individuals for them to be able to attend to their needs.

He explained that the principal source of loanable fund for the cooperatives is usually the savings and share capital raised from members, therefore, it’s proper management is no doubt very important.

He said the extension of Loan based on sound principles is very essential to the growth and prosperity of any cooperatives.

“Today cooperatives compete with other lending institutions, hence the management of our cooperatives is expected to be more creative than what it used to be.”