KATHMANDU: The Rastriya Swatantra Party (RSP) pledged in its election manifesto that small depositors of crisis-hit cooperatives would receive their savings within 100 days of the formation of the government — potentially by July 4.
But how realistic is this promise?
Clause 31 of the party’s manifesto states that the government will ensure the return of small depositors’ savings within the first 100 days in order to safeguard the hard-earned income of citizens.
The manifesto also proposes the creation of an Integrated Savings Security Fund aimed at protecting depositors’ money. The fund would prioritize payments to depositors of financially troubled cooperatives. However, the document does not clearly define who qualifies as a “small depositor.”
Following the House of Representatives elections held on March 5, RSP secured close to a two-thirds majority, putting the party in a strong position to form the next government. If the party forms the government as expected, there is growing speculation that small depositors could receive refunds within the pledged 100-day timeframe.
According to the government-run Problematic Cooperatives Management Committee, efforts are currently underway to manage 23 troubled cooperatives. The total liabilities of these institutions exceed Rs 39 billion.
In addition, several cooperatives facing financial distress operate at the provincial level. Informal estimates indicate that billions of rupees belonging to small depositors remain trapped in such institutions across the country.
Speaking to Khabarhub, Deputy Chief of the RSP Cooperative Department Chandra Kumar Gauli said the party considers depositors with savings below Rs 100,000 as small depositors.
Gauli said discussions with cooperative operators suggest that many institutions are willing to resolve the crisis themselves if the government creates a conducive environment.
“Many cooperatives have outstanding collections but face liquidity problems. Some institutions that need to collect around Rs 100 million still struggle to repay even Rs 50 million due to operational difficulties,” he said.
He added that several cooperative operators have expressed readiness to settle the issue if the government allows them to operate in a stable environment.
“If the government facilitates the process, the problem can be resolved quickly. Based on this possibility, we included the commitment in the manifesto,” Gauli said.
According to him, even limited government support and coordination could significantly accelerate the process of returning savings to depositors.
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