International relations
International Year of Cooperatives 2025
GS3 Economy · CooperativesGS2 Cooperative sectorPrelims and Mains
- Why in news
- On 18 January 2026, PIB published a review of India's cooperative sector during the UN International Year of Cooperatives 2025, listing the year's reforms and numbers.
- What it is
- The International Year of Cooperatives 2025 was declared by the United Nations under the theme 'Cooperatives Build a Better World'. It aimed to mobilise action to strengthen cooperative enterprises and advance the SDGs. In India, the year was tied to the Ministry of Cooperation's 'Sahkar Se Samriddhi' vision.
- UN theme
- The UN declared 2025 the International Year of Cooperatives, with the theme 'Cooperatives Build a Better World'. It was announced on 19 June 2024.
- ICA definition
- The International Cooperative Alliance defines cooperatives as member-owned and member-governed enterprises.
- Ministry of Cooperation
- India created a dedicated Ministry of Cooperation on 6 July 2021.
- Tribhuvan Sahkari University
- India's first national cooperative university was set up by converting IRMA. Its Act took effect on 6 April 2025.
- Multi-state apex bodies
- BBSSL (seeds), NCOL (organics) and NCEL (exports) are apex multi-state cooperatives registered under the Multi-State Cooperative Societies Act, 2002.
Don’t confuse with IYC 2025 vs ICA: IYC 2025 is a UN-declared year. The International Cooperative Alliance is a global federation of cooperatives that defines cooperative principles.
Don’t confuse with NCDC vs NABARD: NCDC (1963) finances cooperatives in farm and non-farm sectors. NABARD (1982) is the apex rural credit and development bank.
International bodies and relations: the largest group of news questions in Prelims (61 since 2013), often about background, members and location. In Mains, 27 news-triggered questions, mostly on India's interests.
Why it matters
- Cooperatives reach nearly 98 percent of rural India and serve about 32 crore members, so they are a base for rural credit and livelihoods.
- Linking PACS to services such as storage, fuel outlets, Jan Aushadhi and CSCs turns them into multipurpose village hubs.
Problems
- Only about 6.6 lakh of over 8.5 lakh registered cooperatives are functional.
- Digitisation is incomplete: 59,261 of 79,630 approved PACS use ERP software.
Way forward
- Complete PACS computerisation and audits, and revive dormant cooperatives.
- Strengthen governance through model bye-laws and the cooperative ranking framework.
Put in your answer
Cooperative database: As of December 2025, the National Cooperative Database records over 8.5 lakh cooperatives, about 6.6 lakh operational, with around 32 crore members across 30 sectors.
Cooperative Credit Societies Act: Cooperatives first gained legal recognition in India through the Cooperative Credit Societies Act, 1904.
- 2014Mains GS3 · Q4Discuss cooperative credit societies for rural agricultural finance, plus constraints and technology use.
- 2020Mains GS2 · Q17Evaluate Self Help Groups' role in microfinance, asset creation, and women's empowerment.
UPSC’s own questions that come close to this issue, from our Prelims and Mains banks.
No practice question for this one; the card may still help an answer. Why: Cooperatives are a lasting syllabus topic with many numbers, but the release is a progress summary. Schemes make up 16% of news-linked Prelims questions, but no clear debate here.
Worth revising until Prelims 2027: most news questions come within two years of the event.