The Cooperative Department in the Ministry of Trade and Industry (MTI), with support from the International Labour Organization (ILO) and the European Union, Saturday 9th August 2025, ended Regional Stakeholders’ Consultative Workshops on the Review of the Cooperatives Societies Act 1977 in the North-West of the country, Makeni and Port Loko Districts respectively.
In Makeni, the meeting was at the Sierra Leone Teachers Union Regional Headquarters in the North, and the Ministry of Agriculture in Port Loko District.
The over 130 co-operators for the two events were teachers, farmers, miners and commercial motorbike riders from different cooperatives in the North-West of the country. Other participants were from the Ministry of Planning and Economic Development, Civil Society Organizations and the media.
Cooperatives started in Sierra Leone in 1944; and review of the outdated Act is in line with the new trend for the country’s development. Participants were urged to be attentive and make salient contributions as it is the responsibility of all to move the country forward.
It was further disclosed that agricultural cooperatives would help boost rice production and other sectors, and that agricultural farmers are the richest in China.
The Registrar of Cooperatives in the Ministry of Trade and Industry, Mr. Newton Marlin and Mr. Max Kossy-Sesay, Deputy Director of Planning, Policy and Research facilitated the workshops while the Director of Planning, Policy and Research in the same Ministry, Francis Jabati Esq., gave an overview of the objectives of the workshop and expected outcomes.
The Director of Planning, Policy and Research in the Trade Ministry, Francis Jabati Esq., revealed that President Julius Maada Bio, the minister, deputy and entire ministry are all eager to review and enact the new policy as a legacy before leaving office.
Mr. Max Kossy-Sesay, Deputy Director of Planning, Policy and Research informed that the main objective of a cooperative is for people to help each other as the loans attract minimal interest, affirmed that the review would formalize other sectors like commercial motorbike riders, miners and farmers and affirmed that the day is a memorable one.
He also observed that Sierra Leoneans and Africa at large lack the culture of saving and reiterated the need to catch them young by sensitizing pupils to start saving at an early age.
The Registrar of Cooperatives in the Ministry of Trade and Industry, Mr. Newton Marlin revealed that government wants to create wealth for the people at all levels, noted that Sierra Leone and Liberia have outdated Acts with the latter being enacted in 1936, urged participants to make outstanding inputs in the new Act that would stand the test of time and assured that donors are ready to support cooperatives after the review of the Act.
He underscored that cooperatives are synonymous to development citing the case of Canada that has 9 million co-operators and Ethiopia with 36, 000 respectively.
Similar engagements would be organized in the South-East of the country to sound and get the input of all stakeholders before the final document is presented to Cabinet and Parliament for approval.
Mr. Marlin also enlightened that when the new Act is reviewed, it would help to bring cooperatives together to improve on their socio-economic status, underscored that the new Act would improve the lives of the people asserting that Credit Unions that are financial cooperatives are not in the Act.
Climate change, gender, technology, disease outbreaks, offences and penalties, independent auditors, members’ rights, surcharge, dispute resolution, appointment of the Registrar and Deputy, checks and balances to be included in the new Act, that cooperative is a unique business and the number of people to form a cooperative were some of the critical issues discussed as participants were admonished to think out of the box by reviewing the Act for prosperity.
Amalgamation of cooperatives, continuous training and supervision of cooperators, decentralization, registration process, definition of a community, requirements for civil servants to join the Credit Union, security of members’ contributions and that like in the case of Credit Unions, a Central Financial Facility be created to serve as a security bond were also highlighted and discussed.
Mr. Marlin also revealed that the 1977 Act was written for multipurpose/cooperative societies (agricultural, etc.) and lacks modern prudential, consumer-protection and supervisory provisions needed for financial cooperatives (Credit Unions) and appealed to participants to amend these topics in the Act (i.e., the relevant sections that currently cover them), or create a new dedicated part /schedule for Credit Unions asserting that Credit Unions (CUs) must be legally distinguished from non-financial cooperatives.
He commended the sponsors of the program, especially the ILO, underscoring that the current Act is outdated.
According to the Registrar, mining, fishing and agricultural cooperatives are growing rapidly in the country.
Other relevant issues discussed were registration/incorporation/objects
—amend registration provisions to create a separate registration category and registration requirements (minimum capital, permitted activities, common bond rules, governance bylaws template, fit-and-proper test for officers).
Why: registration for financial co-ops should allow the Registrar (and Bank where appropriate) to refuse/condition registration on prudential criteria.
Powers and Permitted Business (objects), Share Capital, Member Savings & Deposits, Prudential & Financial Requirements, carrying out of deposit-taking business, Governance and Fit-and-Proper Standards, Accounting, Audit & Reporting.
During the question and answer sessions, participants disclosed that majority of businesses are in the informal sector with huge resources that must be tapped, that there are more than 400 agricultural cooperatives and 29 Credit Unions with the National Association of Credit Union Associations (NaCCUA) as the apex body that arbitrates disputes.
