Sessional Paper No. 06 of 1997 on Co-operatives in a Liberalized Economic Environment

Abstract

This Sessional Paper No. 6 of 1997 provides a policy framework for Cooperative development in a changing economic environment and the Cooperative Management approach. The major change in the economic environment has been the liberalisation of economic activities and the emergence of competitive market economy. Changes in the Co-operative Management approach involves the withdrawal of state involvement in the day to day management of co-operative societies and unions. The Paper defines a new relationship between the Government and the Cooperative movement. The management of co-operatives will be in the hands of the members in line with co-operative Principles. This management approach will create an enabling environment for making Kenyan Cooperative movement a conglomerate of true co-operatives. Further, it will make their management democratic and professional and enable co-operatives to be self-controlled and self-reliant. The future role of the Government will be that of creating a conducive environment for co-operative growth and development through formulation of effective co-operative development policies and overseeing development and administration of co-operative legislation. The current co-operative legislation will be reviewed to provide for a level playing field for cooperatives to compete with the other business organisations as well as for safeguarding the interests of all co-operative stakeholders including the members and creditors.