The Independent Uganda: You get the Truth we Pay the Price
Masaka, Uganda | THE INDEPENDENT | Minister of State for Finance, Planning and Economic Development in charge of Microfinance Hajj Haruna Kasolo Kyeyune has announced an additional sh360 million to be injected into the program in each constituency, with each well-performing SACCO set to receive 20 million.
The additional seed capital shall be disbursed to Presidential Initiative on Wealth and Job creation (Emyooga) SACCOs upon satisfying the set criteria of convening Annual General Meetings, voluntary and consistent saving, loan recoveries and observing of the 30% savings requirement before a member can access a loan.
Minister Kyeyune, who is on a country-wide monitoring tour to assess progress of the Emyooga program, was responding to concerns by beneficiaries that emerged in the early stages of implementation of the Presidential Initiative that seed capital allocated to each SACCO was inadequate.
Each Emyooga SACCO received sh30 million, during the initial disbursements, with the exception of elected leaders who received sh50 million worth of seed capital, bringing the total amount received per constituency to sh560 million.
Whereas some beneficiary categories have relatively manageable numbers, some categories are overwhelmed by numbers and consequently struggle to satisfactorily serve their members.
For the additional funds, recommendation of successful SACCOs shall be done by Resident District Commissioners or Resident City Commissioners assisted by District Commercial Officers and Community Development Officers.
Minister Kasolo has meanwhile cautioned SACCO leaders to avoid people who bring in money from money lenders to gain quick access to the seed capital. He says such cases will in the long run jeopardize the program as the intended beneficiaries may be left out.
On rising concerns about the pre-set repayment period of 4 months, Minister Kasolo urged SACCOs not to give long-term loans as it kills the motive of revolving the fund to benefit all members. He however reiterates that it remains at the complete discretion of the SACCO leadership to adjust accordingly.
Senior Presidential Advisor on greater Masaka affairs, Justine Nameere advises Emyooga beneficiaries to be ambassadors of the program wherever they are. She points out scenarios where saboteurs de-campaign the program on open public fora in the face of beneficiaries. This misinformation, she says, discourages the very people targeted by this initiative.
