KUALA LUMPUR, 2 Nov — The Cooperatives (Amendment) Bill 2020, which, among others, aims to ensure that the cooperative sector remains relevant and becomes the driving force of the country’s economy, was tabled for the second reading in the Dewan Rakyat today.
Entrepreneur and Cooperative Development Minister Datuk Seri Wan Junaidi Tuanku Jaafar when tabling the bill, said the proposed amendments involved nine clauses.
“The ministry is of the view that the Co-operatives Act 1993 has to be reviewed to improve the supervision and control of the cooperative sector so that it remains relevant with current economic development.
“Besides that, the ministry and the Cooperative Commission also want to ensure that the amended act will facilitate the cooperative movement in the country to engage in high profile business to generate income and further contribute to the country’s Gross Domestic Product (GDP),” he added.
The Act was last amended in 2007.
Wan Junaidi said the co-operatives movement is one of the best platforms to be the driving force for the country’s economy in line with the Co-operatives Commission’s role to strengthen the performance and productivity of the cooperative’s sector.
“As of December 31 last year, there are a total of 14,625 co-operatives are registered in the country, with a strength of 6.09 million members and RM15.39 billion in share capital and fees, as well as RM146.78 billion in assets.
“In terms of achievement, the co-operatives movement has generated income of RM45.79 billion and the average growth of the sector’s acquisition increased by 3.97 per cent each year from 2014 to 2019,” he added.
He said from discussions held with related agencies since 2018 until December last year, there was no objection to improve the Cooperative Act.
“Among feedbacks received were to reduce the number of members to register a cooperative, reduce the number of board members, as well as audit committee members, to facilitate governance of cooperatives and to revoke the commission’s approval on the use of logo,” he added. — Bernama
