3 weeks ago
Parliament passes NCDC Amendment Bill to boost cooperative sector
In India, some people work together in groups called cooperatives.
Farmers and small business owners join cooperatives to share money, tools and ideas.
There is an office called the NCDC that helps these groups get money to grow.
Before, the NCDC had to send money through state governments, which made things slow.
In August 2026, India's Parliament passed a new law called the National Co-operative Development Corporation Amendment Bill.
The new law lets the NCDC give loans and grants directly to cooperatives and other groups that help them.
It also lets help reach more kinds of food projects and projects anywhere in the country.
The minister in charge said the government will not need to spend any extra money.
This should help cooperatives get money faster and do more useful work.
The Rajya Sabha passed the National Co-operative Development Corporation (Amendment) Bill, 2026, by voice vote on Wednesday, a day after the Lok Sabha passed it.
The amendment enables the NCDC to provide loans and grants directly to cooperative societies and other entities engaged in cooperative development, instead of routing funds through state governments.
Minister of State for Cooperation Murlidhar Mohol said the bill involves no additional budgetary financial assistance from the government.
The bill expands the definition of 'foodstuffs' to include processed food and other items notified by the Centre and removes geographical restrictions on industrial goods.
With Central Government approval, the NCDC will be allowed to participate in the share capital of cooperatives and cooperative-development entities.
- Who
- Parliament of India (Lok Sabha and Rajya Sabha); Minister of State for Cooperation Murlidhar Mohol moved the bill in the Lok Sabha and introduced it in the Rajya Sabha on behalf of Union Minister of Cooperation Amit Shah.
- What
- Passage of the National Co-operative Development Corporation (Amendment) Bill, 2026, broadening the NCDC's mandate to provide loans and grants directly to cooperative societies and entities engaged in cooperative development.
- Where
- Parliament of India, New Delhi.
- When
- August 2026 — the Lok Sabha passed the bill on Tuesday, August 11, and the Rajya Sabha passed it on Wednesday, August 12.
- Why
- To reduce procedural delays caused by routing financial assistance through state governments and to strengthen the cooperative sector by making institutional finance more direct and timely.
Key facts
- Bill
- National Co-operative Development Corporation (Amendment) Bill, 2026
- Act being amended
- National Co-operative Development Corporation Act, 1962
- Key change
- NCDC can give loans and grants directly to cooperative societies and entities engaged in cooperative development
- NCDC established
- 1963
- Parent ministry
- Ministry of Cooperation
- Minister of State for Cooperation
- Murlidhar Mohol
- Lok Sabha passage
- Tuesday, August 11, 2026
- Rajya Sabha passage
- Wednesday, August 12, 2026 (voice vote)
Quotes
Murlidhar Mohol
Minister of State for Cooperation, India
“This bill does not have any provision for additional budgetary financial assistance by the government. The proposed amendment only expands the mandate and financial scope of NCDC.”
theprint.in
National Co-operative Development Corporation (NCDC)
Statutory institution overseeing cooperative development
“"The legislation seeks to amend the National Co-operative Development Corporation Act, 1962, and expands the powers of the National Co-operative Development Corporation (NCDC) to provide loans and grants directly to cooperative societies…"”
thestatesman.com
Sources
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