Since 1969, through the Co-operative Bank of Kenya, the Government, with the assistance of several donors has funded 20 projects aimed at benefitting the co-operative movement. These funds were channelled through the Bank on concessionary terms. However out of all the twenty projects only the Second Coffee Improvement Programme is currently making payments promptly. Loans relating to all the other nineteen projects, amounting to Kshs. 964,653,116.60 are now considered irrecoverable. The main reasons which contributed to the non-performance of the loans are as follows…