Cooperative Principles

The following Cooperative Principles are universally adopted by credit unions/cooperative worldwide. These principles describe what is a cooperative and its unique characteristic from other institution.

» Voluntary and open membership

• Cooperatives are voluntary organizations
• It is open to all people
• It enables us to use their services
• Cooperatives are willing to accept the responsibilities of membership

» Democratic member control
Cooperatives are :

• Democratic organizations.
• Controlled by their members
• Directors or officers are accountable to the membership.
• Members have equal voting rights.

» Member Economic participation

• Members contribute equitably to the capital of their cooperative. They shall receive limited compensation or limited interest, if any, on capital subscribed and paid up as a condition of membership.

» Education, Training and Information

• Cooperatives shall provide education and training for their members, elected and appointed representatives, managers, and employees.

» Autonomy and independence

• Cooperatives are autonomous
• Self-help organizations controlled by their members
• Ensure democratic control of their members
• Maintain their cooperative autonomy

» Cooperation among cooperatives

• Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional and international structures.

» Concern for community

• Cooperatives work for the sustainable development of their communities through policies approved by their members.