Cooperative Societies And Economic Development Of Enugu State (A Case Study Of Udi Local Government Area)

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 Cooperative Societies And Economic Development Of Enugu State (A Case Study Of Udi Local Government Area)


This research work titled, “cooperative society and economic development” of Enugu state. (A case study of Udi local government area) was carried out by the researcher.

          Chapter one, deals with the introduction and the historical background of the study, statement of the problems, objective of the study, research question, Research hypothesis, Significance of the study and scope and limitations of the study include in this chapter.

          Chapter two, deals with the review of past related literature, with the following sub-leadings were discussed: contributions of cooperative societies towards education development, cooperative and it’s economic contribution to rural development and the performance of cooperative in Nigeria.

          Chapter three, deals with the research design and methodology, area of study, population sample, and sampling procedure, sources of data etc were discussed: primary data are oral interview, observation and questionnaires while secondary data involves the use of past research text book and project writing.

          Chapter five, it deals with the finds, recommendation and conclusions.

The findings discovered is that cooperative is doing fairly well is Udi local government area by providing employment, marketing product of the recommendations are:

          Imposed cooperative educational programme from time to time for the member.

Close monitoring of the activities of the cooperative. In conclusion cooperative have been able to develop the areas in term of providing employment for the citizens and providing essential commodities to the members.

Based an the findings the researcher made some recommendations. The financial base of the cooperative societies in Udi, should be improved through the following ways;

v Government should provide find for cooperative societies through loans and special grants.

v An education department should be created in Divisional Council.

Based on the finding the researcher made some conclusion. That cooperative in Udi help their members economically in form of granting loan to member, and cooperative societies are doing fairly well in term of business transaction.


Title page

Approval page



Table of content




1.1            Background of study

1.2            Statement of problem

1.3            Objective of the study

1.4            Research question

1.5            Research hypotheses

1.6            Significance of the study

1.7            Scope limitation


Review of related literature


3.1            Research design and methodology

3.2            Research design

3.3            Area of study

3.4            Population

3.5            Sample and sampling procedure

3.6            Types of data used

3.7            Location of data

3.8            Instrument of data collection

3.9            Method of data collection


Data presentation and analysis


Finding, conclusion and recommendation




1.1                    BACKGROUND OF THE STUDY

     Cooperation in a simple sense is working together of people. It also mean any form of two or more people working together to achieve some aim or aims. This kind of working together may be on a formalized or informal basis, economic or non-economic nature, or permanent.

     Cooperative societies are institutions through which the activities of cooperation are practiced or demonstrated. International Cooperative Alliance (ICA) stated that it is an autonomous association of persons united voluntriliy to meet their common aspiration through a jointly owned and democratically controlled enterprise.

     Cooperative can be seen as an association of persons usually of limited means who have voluntarily joined together to achieve a common economic aims, making equitable contribution to the capital requirement and accepting a fair share of the risk and benefits of the undertaking.

          A fair analysis of the definitions will show that the cooperative societies is basically;

v An association of persons.

v A common need to solve a mutual problem (self-help) or value.

v A  union of capital.

          At a various level cooperative society can be seen a primary, secondary and tertiary, depending on the aims, resources and capacity of the owners.

          Two or more primary societies may amalgamated vertically according to s.52 of the Nigeria cooperative decree 1993.

          However, the rise and expansion of the modern cooperative movement has it’s roots in the far reading, economic, social and political changes which took place in Europe in the 19th century and the effect of capitalism as an economic policy.

          In England it dates back to 1858, in France, it was developed as far back as 1865, in Germany  it dated back to 1888, in India, it came as a result of British colonial rule in 1945, it came to East Africa from where it spread to other parts of Africa, including Nigeria and Udi local government area Enugu state, due to the influence of British colonial rule.

          The operations of the cooperatives societies and their economic development effect are what this work is set to look into with particular reference to Udi local government area of Enugu state.


          It has been noted earlier that cooperative society erupted as a result of the harsh swords of capitalism which is a system divided into exploiters and exploited in which the exploiters (the capitalists) owned the means of production.

          On the cultural note, capitalism is fed by itself, nurses the bourgeois, creates egotism, greed or philistinism ie (concentration on material acquisitions and ownership of money), self-centered rivalry, theft, fraud, dishonesty, and mendacity.

On a general note, capitalism turns the heart against man, destroys man humanity and promotes man’s inhumanity, hardship, social irresponsibility, poverty and constant unhappiness to the citizens. It also bring inflation, depressions, unemployment and various forms of economic and social insecurity for the greater majority of the populace. Capitalism also makes the less economically powerful citizen to exist as on-lookers, and passive spectators in the political game.

          In capitalist society labour discipline is the discipline of hunger and poverty while in slave owning and feudal society labour discipline-discipline of the whip and cane. The above problems typical of the Nigeria society today.

          Hence the cooperative society came to address these short-coming of the individualistic capitalism. Our local government workers and residents do not feel part of the democracy dividends. Workers are owed arrears of salaries, pensions and gratuity on retirement. Both pensioners and workers from various cooperative societies save themselves from the ills of capitalism.

          The government in defense says resources are not adequate to meet their demand. The citizen spine that it is due to mal-administration. The media carry-news of poverty alleviation programme of the government, while  non-governmental organization (NGO) cooperative societies inclusive put its programme of operation as a challenge to the government of the day.

          Therefore, it is a bid to examine the economic development effect of the cooperative societies in line with the prevalent problems that this work is being carried out with Udi local area as a study area.


          In 1.2 above, an x-ray of the problems have been made. Bearing in mind some of the issues raised as problem the objective of this study is to examine among other issues the following;

v To examine the adequacy of the resources with the reach of cooperative societies to achieve economic development.

v To examine the socio-economic effects of cooperative sponsored projects as compared to government sponsored projects.

v To critically study the level of government assistance, threat to cooperative existence.

v To examine the effect of remedial actions already taken by cooperative societies to ensure their survival and continued economic development as well as recommended measures were necessary.


          Following the objectives of this study, the following research questions have been developed for this study:

vIs the resources available to the disposal of cooperative societies adequate to encourage economic development in Udi local government area?

vWhat is the level of impact by the citizens as a result of projects embarked by cooperative societies as compared to those sponsored by the government?

vHow has the government activities been able to encourage or threaten the existence of cooperative societies in Udi local government area?

vHas the remedial actions already taken by the cooperative societies been able to encourage the growth?


          From the above questions, the following research hypotheses have been formed for this research work.

vThere is no significant difference between the perception of workers on the adequacy of resources to encourage cooperative societies and economic development.

vThere is no significant difference between the views of workers on the level of effect of cooperative sponsored projects and that of the government.

vThere is no significant difference between the perception of workers on the level of threats and encouragement by the government in Udi local government area.

vThere is no significant difference between workers perception on the effectiveness of remedial action already taken by the cooperative societies to ensure economic growth.



The significance of this study is that it will portray the available and alternative sources of resources open to cooperative society’s sin Udi local government area particular and other places in general.

Also, it will bring to light the economic impact of project embarked upon by co operative societies as compared to those sponsored by government.

Besides, it will bring to knowledge how government activities encourage or threaten the existence of cooperative movement in many areas.

Furthermore, it will show the effect of remedial actions already taken by cooperative societies to encourage growth as well as recommend other possible courses of action.

Finally, both the political class, the governed, stude4nt and the entire citizens are bound to benefit from the finding of this study especially now that unemployment is the other of the day and they can contribute resources to gainfully employ themselves.

1.7            SCOPE LIMITATION

The extent of the work is limited by the effect of the following:

  • Time
  • Money
  • Available books on the topic
  • Inability of workers to give information which they considered top secret
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