May 9: Former Finance Minister Dr. Yubraj Khatiwada emphasized the urgency of implementing second-tier regulation for cooperatives.

Speaking on the second day of the national seminar of the Account Supervisory Committee (ASC) organized by the National Federation of Savings and Credit Cooperative Unions Limited (NEFSCUN) on Wednesday, Dr Khatiwada said Nepal was at immediate need for second-tier regulation and supervision of the cooperative sector in the wake of emerging problems surrounding it.

Khatiwada highlighted the growing challenges facing the cooperative sector and stressed the need for proactive measures to address them.

 Khatiwada warned that failing to tackle these issues internally could lead to external intervention, emphasizing the importance of both accountability and autonomy within cooperatives.

Additionally, Erik O' Hern, International Advocacy and Regulatory Counsel for World Council of Credit Unions, emphasized the importance of strong account supervision for the sustainability of cooperatives.

She also stressed the significance of a capable workforce within the Account Supervisory Committee (ASC) and highlighted the committee's role in providing guidance and ensuring adherence to rules and regulations.

 Hern suggested that ASC should have a stronger role than the Board of Directors and presented international practices on cooperative supervision and regulation during the seminar. (RSS)