Poor loan recovery in Kole blamed on political interference

Kole, Uganda | THE INDEPENDENT | Leaders of Emyooga SACCOs in Kole district have attributed the poor loan recovery rate to political interference, particularly misinformation about the program. Emyooga, a presidential initiative aimed at promoting job creation and improving household incomes, disbursed funds to 33 SACCOs in Kole district in two phases.

In the first disbursement, over Shillings 100 million was disbursed to 33 SACCOs in Kole North and Kole South, while the second phase saw 20 million Shillings distributed to each SACCO across both regions. However, SACCO leaders in the district are concerned that the recovery of these loans has been hindered by politicians spreading false information.

Jimmy James Odongo, the General Secretary of Kole South Welders Emyooga SACCO, said some leaders misled beneficiaries by telling them the funds were a “presidential handshake,” leading many to believe they didn’t have to pay it back.

For instance, out of the four groups that received funds, only two Abilonino SACCO and Eastern Ward SACCO—have repaid the loans. The other two, Abeli and Abedi SACCOs, both in Akalo Sub County, have not.

B. John Ogweng, the Kole District Principal Commercial Officer, confirmed the challenge and pointed out that continuous sensitization efforts have not yielded the expected results.

Peter Opido, the LC 3 Chairperson of Akalo Sub County, believes the misinformation stems from politicians seeking favor from the electorate. He urged his fellow politicians to tell voters the truth if they are to break free from poverty.

Despite the setbacks, some SACCOs have successfully invested the funds and are seeing positive results. Brenda Atidi, the Secretary of Kole South Carpentry Emyooga SACCO, shared that the project has had a significant impact, particularly among women in the community, helping them provide for their families without relying on men.

Launched in August 2019, Emyooga is part of the government’s broader strategy to transform 68% of households from subsistence to market-oriented production.

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