Yes to hardcore poor co-operative, but...

obmar · Site Admin Joined: 14 Apr 2006 Posts: 5697

Yes to hardcore poor co-operative, but...
Gabey Goh and Najiah Najib
http://www.mmail.com.my/Current_N...20080707103937/Article/index_html

NEWS of a special co–operative for the hardcore poor by Entrepreneur and Co–operative Development Minister Datuk Noh Omar has been met with cautious optimism by non-government organisations (NGOs).
The yet-to-be launched initiative is known as "Koperasi Bela Rakyat" (Kobera).

Successful applicants would reportedly be given a launch grant of RM30,000 each. In addition, applicants would each receive RM100 worth of shares and enjoy annual dividends based on the profits made by their co–operatives.

The full details of this programme, which would involve the establishment of a co–operative in each State constituency, has yet to be released by the ministry but aims to assist the poor by exposing them to business opportunities, thus generating higher incomes.

While NGOs welcomed any initiative to aid the poor, they cautioned that such a move should not be hasty and without proper consideration of the situation.

"Co–operative programmes were launched during the 1970s. The cooperatives grew quite huge back then. But as there was money involved, corruption crept in," recalled Tenaganita director Irene Fernandez.

"Such an initiative should be studied thoroughly and a pilot programme initiated before any nationwide effort is be undertaken. In addition, such a policy should not be divisive and be available to all, regardless of race and religion," noted Transparency International Malaysia president Tan Sri Ramon Navaratnam.

"Any kind of economic initiative should also take into account gender as we are seeing an increase in the number of households headed by women. Special effort must be extended to provide the needed information and access to the scheme as forays into such ventures have been traditionally dominated by men, " said Women's Aid Organisation executive director Ivy Josiah.

Both Josiah and Fernandez also emphasised the need for the programme to undertake an "on the ground" approach in its implementation, citing the possible hesitation many would have in walking into a government office to gain information.

"I believe it would be better if the Kobera initiative was conducted by the community for the community, instead of having only government officials in its management.

One must also consider the experience that government officials have to conduct such a programme.

"With the food and petrol price hikes, the urban poor should be given priority in this new initiative as some of them don’t even have basic necessities such as food and shelter. Being poor in the city is worse than being poor in the countryside," said Fernandez.

At all levels, transparency and accountability must be had so that Malaysians will give their continued support with confidence and ensure its sustainability," elaborated Navaratnam.

The Kobera co–operative is slated to be launched by the ministry after a meeting with co–operative development officials and State assemblymen before the end of the month, according to Omar, who made the announcement after the launch of the ministry's "Gerak Usahawan" programme at Temerloh Pahang, on Saturday.