Satish Marathe, Director on the Central Board of the Reserve Bank of India, underscored the pivotal role of cooperatives in India’s financial architecture, stating that they remain the most cost-effective channel for delivering credit to the last mile.
Speaking at a National Conclave at Vigyan Bhawan, Marathe delivered a lecture on building a “vibrant ecosystem” for cooperative growth through self-sustainable support systems. He emphasised that a robust cooperative sector is key to achieving inclusive and sustainable economic development.
Drawing attention to persistent challenges, Marathe highlighted issues such as a low capital base, lack of professional management, limited adoption of technology, and overdependence on government support. He called for comprehensive legal reforms, stronger institutional frameworks, and enhanced financial empowerment to make cooperatives more competitive and self-reliant.
Referring to global standards, including ILO Recommendation 198 and UN guidelines, he stressed the need for India to align its cooperative policies with international best practices while preserving autonomy and accountability.
Welcoming the Government of India’s plan to establish over two lakh new multipurpose PACS, dairy, and fishery cooperatives, Marathe termed it a “transformational step” for grassroots economic expansion. He also stressed the importance of expanding into emerging sectors, boosting youth and women participation, and leveraging technology.
He concluded by advocating a facilitative role for the state, ensuring a level playing field, robust regulation, and effective supervision, while allowing cooperatives to function as independent, member-driven institutions.