his study is concerned with assessing the performance and challenges of Werie Multipurposernoperative Union (WMCU) which is found in werie - Leke woreda of Tigray Regional State ofrn~iopia. The objective of the study is to assess the performances and challenges of the union inrnicourse of development.rn!'this purpose, the data requirements for the study were collected from different sources. ThernA1G/y data were collected from 126 member respondents of two sample primary memberrnliiperative societies of the union and 50 randomly selected non-members from the residents ofrnt~own of Edaga-Arbi. Moreover, the study made use of documents of the Union, like financialrn'~ents and audit reports as source of secondary data. In addition to this, FGD and Keyrnirtltnant interviews were also important sources of secondary data. The data collected werern~ed using simple statistical analysis like frequencies, percentages, tables, financial ratiornpnt"is and t-test with the help of a statistical package called SPSS (Statistical Package forrnSodj Sciences).rn'I'lte ftdings from the study revealed that trend of membership of the Union was increasing overrnrite IIrdy period but the financial performance was inconsistent in the periods under study .rn.A.iJiliq;on to a cooperative was found to increase the income of members and therebyrnco!11riutes to the well-being of member household that was manifested in the betterment of oxenrnow!1eF'liip, food, housing, and clothing and in terms of ability to send children to school and usernrnodellhealth services. In addition, WMCU has some benefits to the community (non-members)rnin stobiizing the local market and cost saving. On average, a person was able to save Birr 8.17rnper !1101th given that slhe purchases the sampled items from the union instead of the privaterntraders in the town of Edaga-Arbi.rnRegarding the challenges constraining the performance of the Union, the study has pointed outrnthat embezzlement, limitations in the capacity of Management Committee or BoDs, lack ofrncapital, unhealthy competition from private traders, absence of education and training and lackrna/physical resources are the main ones.