1.6. Significance of the studyThe study pointed out some of the challenges of SACCOs faced in Ethiopia and the untapped potentialand opportunities waiting. Besides, the study will be expected to serve: as a source of further study in thesimilar sectors; Government policies and strategies, perception of the community towards cooperatives,NGOs and government intervention and interference, all had significant contribution in enhancing and/orretarding the movement of cooperatives for the last three decades. Hence, it was too difficult to concludethat the stakeholders had proper understanding on the values and principles of cooperation to coordinatetheir efforts. Thus, the study is hoped to help policy makers and implementers understand issues related tocooperatives development, values, principles and their challenges as well. It may also be helpful for KaluWoreda SACCOs to take corrective measures like awareness creation about their cooperatives andimprove the performance of the management committees through education, training, and information soas to overcome the challenges constraining their performance and to make members aware about thepossible prospects.1.7. Definition of Terms and ConceptsFor the purpose of conducting this research, the researcher defines the terms and concepts in thefollowing way:Saving: means the accumulation of money regularly or irregularly by the members of saving and creditcooperative societies to secure or to gain interest rate or both. Saving can be defined simply as holdingsomething back from today’s consumption.