IMPACT COOPERATIVE THRIFT AND CREDIT SOCIETIES AS TOOLS FOR POVERTY ALLEVIATION IN NIGERIA: A CASE STUDY OF SELECTED COMMUNITIES IN UMUAHIA NORTH LOCAL GOVERNMENT AREA OF ABIA STATE
ABSTRACT
The topic of this study is “Impact Cooperative Thrift and Credit Societies as tools for poverty alleviation in Nigeria: A case study of selected communities in Umuahia North Local Government Area of Abia State”. Both primary and secondary sources of data were used to get the relevant data. Harvard style of reference was used. Face to face method of data distribution was used. The table method was used to present the data while the simple percentages and frequencies were used for the analysis of data. The study was broken into five chapters. The population size was 2,323 the sample size was 341 and 200 was used for the analysis. Taro Yamani formular was used to get the sample size. The following findings were made that contributions of cooperative and thrift and credit societies are self-employment, establishment of industry, etc, that they eradicate poverty, they create job opportunities and they do not always give loans to members and they develop the area through human development. The following recommendations were made efforts should be made to sustain the contributions of the societies to the area, they have to continue to fight against poverty, and they should always provide loans to their members.
 TABLE OF CONTENTS
CHAPTER ONE:         INTRODUCTION
1.1    Background and need for the study   
1.2    Statement of the Problem  
1.3    Objectives of the Study
1.4    Theoretical foundation of the study   
1.5    Research Questions 
1.6    Significance of the Study   
1.7    Scope of the study   
1.8    Limitations of the study   
1.9    Definition of terms and acronyms   
References  
CHAPTER TWO:    LITERATURE REVIEW
2.1    The origin of co-operative thrift and credit societies   
2.2    Types of co-operative thrift and credit societies   
2.3    Economic Functions to members  
2.4    Co-operative thrift and credit societies contributions to
members economic uplightment   
2.5    Co-operative  Thrift  and   Credit   Societies Contributions
towards poverty alleviation   
References 
CHAPTER THREE:   RESEARCH DESIGN AND METHODOLOGY
3.1    Research method and design 
3.2    Source of data   
3.2.1    Primary source of data  
3.2.2    Secondary source of data   
3.3    Location of the study  
3.4    Population of the study 
3.5    Sample size and sample technique   
3.5.1 Sample size  
3.6    Instrumentation
3.7    Validation of instrument  
3.8    Reliability of instrument   
3.9    Data collection   
3.10   Instrument return rate   
References 
CHAPTER FOUR: PRESENTATION, ANALYSIS AND sINTERPRETATION OF DATA
4.1    Research Question One 
4.2    Research Question Two   
4.3    Research Question Three
CHAPTER FIVE: SUMMARY OF FINDINGS, RECOMMENDATIONS AND CONCLUSIONS
5.1    Summary of Findings  
5.2    Recommendations  
5.3    Conclusions 
Bibliography   
Questionnaire   
     CHAPTER ONE
INTRODUCTION
1.1    Background of the Study
Poverty, many at times is one of the most difficult challenges facing any country like Nigeria in the developing world. It has been and still is the main problem in Nigeria, where on the average majority of the population is considered poor. Evidence in Nigeria shows that the number of those in poverty line has continued to increase. (Ogudile, 2005: 81)
The problem of poverty is not a child of today but it has always been in existence. Against the background of severe and high incidence of poverty in Nigeria as a whole, but Umuahia North L.G.A. in particular, successive Nigerian government has established institutions and mounted micro-credit programs around the country with the aim to address the issue at poverty. In successive attempts to eradicate extreme poverty, the government of the Federal Republic of Nigeria (FGN) declared in November 1999 that part of the £4470 billion budget for year 2000 was to tackle poverty. Consequently, when the National Assembly passed the 2000 budget, the government got an approval to commit N10 billion to poverty alleviation programs. (Ayodele, 2004: 91). Again in the 2001 budget, the government increased the allocation to poverty alleviation program by 150%. These efforts were promised on presumption that the poor ones need cheap credit to get out of poverty and make vital contributions towards national development in the country. (Ogundele, 2005: 62) In February 1997, the world's summit on micro credit held in Washington D.C United States of America sets a target of affecting 100 millions of the world's poorest families with credit for self employment by the year 2005 (Olunrewaju 2006:83).
In addition to this, the federal government of Nigeria established micro finance services to the people. However, the Nigerian government took further step by establishing National Poverty Eradication program (NAPEP) formulated by the FGN in 2001. National Poverty Program (NAPEP) has one of its programs currently running called "KEKE NAPEP" project. There are however other strategies which are in pursuit of the same goal, which is, National Economic Empowerment Development strategy (NEEDS) formulated for the national level and state Economic Empowerment Development Strategy (SEEDS) at the state level. (Eyo, 2008: 84)
1.2    Statement of the Problem
Having reviewed some related works on this topic the researcher is motivated to carryout this research work on the impact of cooperative thrift and credit societies as tools for poverty alleviation in Nigeria. The main thrust of this study is the high degree of hunger and starvation, low income earnings all caused by poverty in Umuahia North Local Government Area. Beggars are in their hundreds and jobless graduates are roaming on the streets of Abia State searching for non-existing jobs. (Akudu, 2006: 55)
According to Atu (2006: 66), most of the programmes aimed at eradicating poverty in Nigeria are not properly co-ordinated. The federal, state and local governments do what they like at different levels and times. The result is abysmal waste of resources.
Statistical data on the poor does not exist either. According to Umoh (2004: 93), the Nigerian governments often fight poverty without identifying the real poor. Majority of the poor are in rural communities but most of the headquarters of the institutions which government claims are meant to eradicate poverty are located in the urban centres. The rural poor reside in the rural areas not the urban centres.
Many a time, according to Eyis, (2006: 74) money is set out for poverty eradication but it never gets to the poor in the rural communities. The money is diverted to other sectors of the economy. When it really gets to the poor it is discovered to be too meager to be used for the proposed task. Again the number that gets the little money is too few to create any meaning impact..
According to Fulani, (2008: 68) having failed to properly and effectively co-oridnate the programmes associated with poverty alleviation in the country, the fund raised for that purpose is not properly managed. Poor co-ordination also makes it difficult to establish realistic statistical data of the poor.
It was based on these problems that the researcher decided to carry out the research on Thrift and Credit Cooperative Society as a Tool for Poverty Alleviation in Nigeria with particular reference to Umuahia North Local Government Area of Abia State.
1.3    Objectives of the Study
The broad objective of the study is Thrift and Credit Cooperative Society as a Tool for Poverty Alleviation in Nigeria with particular reference to Umuahia North Local Government Area of Abia State.
In respect to this, the researcher have set out the following as specific objectives of the study:
1.    To determine the contributions of co-operative thrift and credit societies towards self employment.
2.    To determine how co-operative thrift and credit societies would help
in eradication of poverty in Umuahia North L.G.A.
3.  To determine the strategies of co-operative thrift and credit societies towards
    economic development in Umuahia North L.G.A
1.4    Significance of the Study
It is the earnest desire of the researcher that the outcome of this research work will help the people in Umuahia North Local Government Area in Abia State, in particular and Nigerians at large will benefit from the research work as they will know the contributions of co-operative thrift and credit societies and how job opportunities can be created through such societies. The colleagues of the researcher will use the findings of this work as a stepping stone in their bid to carry out their own research work because they will add it to their knowledge. The law makers will use the work to know how to improve in the area. The work will serve an added knowledge in the field.
Finally, the researcher strongly believes that this project will serve as a good secondary material for further research on co-operative thrift and credit societies.
1.5    Research Questions
For the purpose of finding possible solutions to the problem, the researcher formulated the following research questions:
1.    What are the contributions of co-operative thrift and credit societies
towards self employment?
2.    How do co-operative thrift and credit societies help in eradication of
poverty in Umuahia North L.G.A?
3.    What are the strategies for co-operative thrift and credit societies
towards economic development in Umuahia North L.G.A?

1.6    Statement of Hypothesis
1.    There is significant contributions of co-operative thrift and credits societies toward self employment.
2.    There is significance in co-operative thrift and credit societies in eradication of poverty in Umuahia North L.G.A.
3.    There is significant strategies for co-operatives thrift and credit societies toward economic development in Umuahia North L.G.A
1.7    Scope of the Study
The study is Thrift and Credit Cooperative Society as a Tool for Poverty Alleviation in Nigeria with particular reference to Umuahia North Local Government Area of Abia State.
Therefore this study is intended to concentrate in examining the contributions of co-operative thrift and credit societies towards poverty alleviation in Umuahia North Local Government Area.
The study intends to examine the contributions of co-operative thrift and credit societies towards self employment and creation of job opportunities for the unemployed graduates, school leavers, the poor etc.
1.8  Limitations of the Study
Apparently, there are some setbacks which the researcher encountered while carrying this research. The problems were as follows;
Infrastructural inadequacies: shortage or absence of physical facilities, like research centers, libraries - good roads, and computer facilities posed a threat in the development of this research work.
Bureaucracy: the kind of bureaucracy in government establishments in Umuahia North Local Government Area made it very difficult for the researcher to obtain research information. Some vital information required by the researcher was regarded as classified data and they were hardly made available for use to undertake this research work.
Inadequate research funds: usually, research involves a lot of capital outlay in carrying out research work. This limitation was inadvertently not avoided by the researcher thereby constituting an impediment on the growth of the research work.
Illiteracy: the researcher experienced this limitation in the making of this research work, in that significant percentage of the people living in the area Local Government Area could neither read nor write. It was very difficult for the researcher to have their way in the development of this research work as she they encountered people who could not read, write or understand the importance and process for supplying necessary information in written or oral form for the researcher usage.
Ignorance: this is another limitation experienced by the researcher. Some people misconstrued the researcher as government tax agent gathering information to be used for assessing respondents for tax purposes and this made it difficult for the researcher as some people withheld the information completely and sometimes demanded money before they could give answers to the questions being asked.
1.9     Definition of Terms/ Acronyms
Poverty: Poverty can be defined as the state of being poor, illiteracy, inadequate housing, lack of medical care and malnutrition, existing in too small income earning, high infant mortalities, low life expectancy (Premature deaths) (Udeabah, 2002:38)
Alleviation: According to Hornby, (2004: 597) it means to be relieved of something, example to be relieved of poverty.
Poverty Alleviation: means the modes being adopted to eradicate poverty.
Co-operative Thrift and Credit Society: could be defined as an association of persons who have voluntarily joined to achieve a common ends or goals by means of encouraging its members to save regularly part of their income earnings either on a monthly basis or daily basis with the aim of providing themselves with credit and meet various needs in the various spheres of life.
NAPEP: National Poverty Eradication Program. NAPEP was founded by the federal government of Nigeria in January, 2001.
MDG's: Millennium Development Goals. Millennium Development Goals are goals for the 21st century and it came about in September 2000, e 189 countries signed the millennium declaration which led to its adoption all because of poverty and suffering that persist.
NEEDS: National Economic Empowerment Development Strategy. NEEDS was formed by the FGN in order to achieve the MDGs goal by the year 2015.
SEEDS: State Economic Empowerment Development Strategy, formed to respond to the achievement of the MDGs goal for the 21st century by year 2015.
MFI: Micro-Finance Institutions. MFI are responsible for offering cheap credit or small credit to those that need it most which attracts little or no interest rate.
CTCS: Co-operative Thrift and Credit Society.
FGN: Federal Government of Nigeria.
L.G.A.: Local Government Area