Ujyalo Bhabisya Co-operative

The UB Co-operative

The UB Co-operative grew out of Development Nepal's long-standing work with community savings groups in Sunsari. In 2015, ten of those groups came together to form the Co-operative, bringing 102 founding members and their savings into a single, locally managed organisation.

The principle is simple. Members save regularly, creating a pool of capital that can then be lent back into the communities the Co-operative serves. For people who may have little or no access to conventional banking, this provides a practical and affordable way to save, invest in a livelihood or small business, meet unexpected costs and plan with greater financial security.

The model has grown substantially. By July 2025, the Co-operative had 2,059 members across 61 community savings groups, with deposits of more than 41 million Nepalese rupees. During its first ten years it made more than 6,300 loans, with the great majority supporting agricultural businesses and other income-generating activity.

The Co-operative is particularly important for women. In the most recently reported year, 70% of borrowers were female, giving women greater access to finance and the opportunity to develop businesses and livelihoods of their own.

Its role extends beyond simply providing credit. Regular saving helps members build financial resilience, while the Co-operative's local knowledge means that lending can be based on established relationships and understanding of individual circumstances, rather than relying solely on the collateral requirements that can exclude poorer households from mainstream financial services.

Just as importantly, the Co-operative is owned and governed locally. Its Executive Committee is democratically elected from its membership, while Ram Niraula and the team in Sunsari manage its day-to-day operation. Development Nepal continues to provide financial and strategic support, but the long-term objective has always been greater local independence.

Our current goal is for the Co-operative to reach the point where its own income can cover its operating costs. The present plan is to achieve this by July 2028. Once financially self-sustaining, the Co-operative can provide not only long-term access to savings and finance, but also a source of support for wider community work including education, health and livelihood programmes.