Cooperative Banking Initiatives in Uttar Pradesh Show Positive Impact

The Multipurpose Primary Agricultural Cooperative Societies (M-PACS) in Uttar Pradesh have successfully opened over 2 lakh new accounts in district cooperative banks, with deposits amounting to around Rs 550 crore. This initiative aims to integrate the rural economy with the formal banking system, with an additional Rs 110 crore mobilized as share capital through member participation, totaling funds in the cooperative system to Rs 660 crore.
The program, launched by the Centre in 2025, focuses on establishing MPACS, dairy, and fishery cooperative sectors in all villages across the country through the convergence of various schemes supported by NABARD, NDFD, and state governments.
In Uttar Pradesh, the MPACS membership campaign has attracted nearly 54 lakh farmers, enhancing the cooperative-based rural economy. The state government is committed to providing affordable financial and agricultural services in rural areas by connecting people with MPACS.
Under the leadership of the Yogi government, farmers are benefiting from crop loans at low interest rates, along with access to high-quality seeds and fertilizers, reducing cultivation costs and increasing agricultural production. The state government has digitized the membership process, introducing digital portals and mobile-based registration facilities for joining MPACS, making services more accessible to rural residents.
The MPACS initiative, conducted in two phases starting in September 2023, has seen a significant increase in new member enrollments. The second phase, launched in September 2025, has further accelerated the campaign, emphasizing the modernization of cooperative frameworks.
To enhance transparency and efficiency, a QR code-based digital payment system has been implemented at MPACS, facilitating cashless transactions through QR codes and UPI. This system ensures transparent distribution of fertilizers, aligning with the Yogi government’s focus on strengthening cooperative institutions.