In the Union Budget for the financial year 2025-26, presented by Finance Minister Nirmala Sitharaman on Saturday, the Central Government has made a budgetary provision of Rs 1,186.29 crore to the Union Ministry of Cooperation. This marks a marginal increase from the Rs 1,183.39 crore allocated in the 2024-25 budget.
The budget places special emphasis on increasing funds for the computerization of Primary Agricultural Credit Societies (PACS) and the overall expenditure of the Ministry’s Secretariat.
A provision of Rs 500 crore has been made as a Grant-in-Aid to the National Cooperative Development Corporation (NCDC). Additionally, Rs 560 crore has been allocated specifically for the computerization of PACS, reflecting an increase from the previous budgetary allocation of Rs 500 crore.
Moreover, Rs 25 crore has been earmarked for a Centrally Sponsored Project aimed at strengthening cooperatives through IT interventions. This initiative includes two key components including computerization of Agricultural Rural Development Banks (ARDBs) and computerization of the Offices of Registrars of Cooperative Societies (RCS) in States and Union Territories.
The objective of this initiative is to enhance the efficiency, profitability, transparency, and accountability of ARDBs and RCS offices.
Furthermore, Rs 48.29 crore has been allocated for the expenses of the Secretariat of the Ministry of Cooperation and its attached and subordinate offices. This covers the costs of the Ministry’s Secretariat, the Office of the Central Registrar of Cooperative Societies, the Cooperative Election Authority, and the Office of the Ombudsman.
Additionally, Rs 53 crore has been allocated as a Grant-in-Aid for salaries to the National Council for Cooperative Training (NCCT) and the Vaikunthlal Mehta National Institute of Cooperative Management (VAMNICOM). This includes Rs 42 crore for NCCT and Rs 11 crore for VAMNICOM, marking a reduction of Rs 1 crore each compared to the 2023-24 budgetary provisions.
NCCT is responsible for organizing, monitoring, and evaluating cooperative training programs across the country, while VAMNICOM serves as a national-level cooperative training institute under NCCT’s administrative purview.
Interestingly, no budgetary provision has been made for Cooperative Education and Cooperative Training in the 2025-26 budget. According to sources, the Union Ministry of Cooperation is now covering expenses for these areas through the Cooperative Education Fund. This fund is maintained by the Ministry and supported by contributions from Multi-State Cooperative Societies, which allocate 1% of their profit toward it.
