Three cooperatives agree for merger

KATHMANDU, SEPTEMBER 11 : Three cooperatives based in the Kathmandu Valley have signed an agreement to go for merge.Lali Gurans Savings and Credit Cooperative, Swarna Laxmi Multipurpose Cooperative, and Kalyan Upakar Savings and Credit Cooperative did so recently in their bid to tide over the problem of liquidity crunch. They each boast of as much as Rs 1 billion in annual transactions.

After they coalesce, a new cooperative named named ‘Laxmi Kalyan Gurans Savings and Credit Cooperative” will be formed. To be led by GB Rai, it will have 11.459 members.  Similarly, the total deposit and loan investment of the merged entity will stand at Rs 8.33 billion and Rs 7.27 billion respectively.  

Over the past few weeks, several cooperatives have been opting for mergers after facing financial troubles.  It may be noted that the Department of Cooperatives a few days back came up with new guidelines to govern the merger process.