The world’s co-operative movement shows that co-operative continue to grow across the globe. In the Malaysian context, neo-endogenous development model has been a focus of many studies on future rural development policies for the 21st century wherein the supporting role of cooperatives may be acknowledged especially in terms of enhancing local capacity and establishing internal and external network. In Malaysia, transformative rural development embodying the characteristics of neoendogenous development model is embedded in several policies such as the Government Transformation Plan, Economic Transformation Plan and Rural Transformation Plan. However, the role of cooperatives in supporting neo-endogenous model through Sustainable Rural Development (SRD) is constrained by the limited involvement of households as cooperative members. Exploration into the potential of cooperative entrepreneurship is not an aberration. Throughout the world, thousands of cooperatives producing goods and services for the market and also providing social condition and job opportunities. Realizing the advantages of cooperative for community development especially in the village or kampong, this research seeks to understand the kampong cooperatives development and sustainability from the mizan principles. The word mizan in Arabic comes from the word wazana means balance and consistency, scales or measurement of an object. On the other view, mizan is a tool that shows the value of the scales or measurement of a thing measured or weighed. Mizan principles are al-ubudiyyah, as-syura, al-hurriyah and al-musawah. Those principles are important as guidelines in the process of kampong cooperative development and sustainability. Utilizing upon a qualitative research, a case study of three kampung cooperatives in Negeri Sembilan have been explored. Focus group interviews were conducted with the cooperative members, kampong development and security committee members (JKKK) and the villagers. It is found that all of four mizan principles have been utilized without realizing the importance of those principles due to knowledge lacking. The study also found that there are several issues that need to be addressed.

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