Banking and Finance
Banking and finance have pioneered the development of co-operative movement since the 1920s. These co-operatives conduct financial activities such as providing loans to members at reasonable interest rates. Other activities under this function are Islamic mortgage (Ar-Rahnu), investment and insurance services. The members comprise those with regular salary income, especially in the public sector, statutory and private bodies. Currently, there are two specific co-operatives which are carrying out banking functions, namely Bank Kerjasama Rakyat Malaysia Berhad and Co-op Bank Persatuan Malaysia Berhad.
These co-operatives initiate the development of land and residential projects for their members. Most projects focus on the low and medium cost housing. The selling price of these houses is affordable to its members and is generally within 20% to 30% cheaper in comparison with market prices.
The main purpose of this co-operative is to assist its members in acquiring quality goods at reasonable prices. Some of the activities undertaken such as the establishment of mini markets, supermarkets, grocery shops, petrol kiosks, convenience shops, etc.
Moreover, school co-operatives was introduced with the aims to inculcate thriftiness and to foster basic entrepreneurship among students. Some of the main activities undertaken are operating school canteens, bookstores, laundries and computer classes.
Substantially, these co-operatives comprise of government agencies involved in carrying out projects on land development such as FELDA, RISDA and FELCRA. The primary activities focus on transporting crops to processing plants. In contrast, co-operatives also venture into running public transportation services such as taxi, bus, trucks etc.
These co-operatives carry out development and management activities on agricultural lands. some of the crops cultivated by these co-operatives are rubber, oil palm, pineapples, cocoa and vegetables.
Substantially, they comprise co-operatives that carry out small-scale industrial activities, such also be known as the Koperasi Industri Kampung (KIK). KIK was set up to gather and coordinate resources from production to marketing; to develop and sustain production of woven products, pottery and silver decorative items and furniture.
These co-operatives carry out the construction of infrastructures such as small bridges, roads and general maintenance. Some of the co-operatives involved are the Koperasi Pembangunan Daerah (KPD), and co-ops from government agencies involved in carrying out projects on land development such as FELDA, RISDA and FELCRA.
These are the co-operatives involved in the activities other than those related to the functions of finance, consumer, farming, transportation, industrial, construction and housing. Among the services carried out by these co-operatives are the funds management, maintenance of buildings and residential areas, rental of buildings/ stall lots, child day care centres, computer classes, bill payment centres etc.