Alex Opira, the District Principal Commercial Officer told Uganda Radio Network in an interview that only one Sacco group has been able to meet all the necessary requirements under the Emyooga guidelines.
Kitgum District is stuck with over
1.5 Billion shillings disbursed by the government under the Presidential
Initiative on Wealth and Job Creation (Emyooga).
The government gave out shillings
1.68 billion to the District in December last year to be disbursed to Saving and Credit Cooperative (Sacco) groups that successfully meet guidelines for the initiative.
A total of 54 Sacco Groups were
formed in three constituencies of Chua East, Chua West, and Kitgum Municipality,
which each constituency allocated shillings 560 million.
But nearly nine months since
receiving the money, the district has issued only 12.78 million shillings to one
Sacco group in the district. The Money was handed to members of Chua West
Tailoring Sacco Group at an official launch of disbursement of Emyooga fund in
Kitgum Municipality on Wednesday.
Alex Opira, the District Principal
Commercial Officer told Uganda Radio Network in an interview that only one
Sacco group has been able to meet all the necessary requirements under the
Emyooga guidelines.
He says the group was able to
save a third of the money required under the Emyooga guidelines for them to
qualify to borrow money from the Bank.
//cue in: “we received 1.68…
Cue out:…of emyooga
implementation.”//
Opira says 53 Sacco groups in the
district to date haven’t been able to save a considerate amount of money that
makes them fulfill the requirements of the initiative. Under the Emyooga
guidelines, a Sacco group is expected to save up to 30 percent of the money
they are in need of borrowing from the Sacco Account.
He encouraged the Sacco groups that
haven’t received money to save a third of their money to qualify adding that
they are yet to get clarification on whether the percentage saving have been lowered
from 30 to 10 percent.
//cue in: “To the rest…
Cue out:…is a third.”//
Early this month, after Parliament
went on recess, the legislators retreated to their respective constituencies on a fact-finding mission to understand the disbursement and utilization of the
Emyooga fund. The decision was to enable the Parliament to understand how
effective the initiative was before the Government rolls out the Parish Development
Model, one of the government’s newest attempts in alleviating poverty.
Kitgum District Woman Member of
Parliament, Lillian Aber who has been traversing her constituency says information
gap on the interest rate, bureaucracy, and stringent requirements in accessing the
fund are affecting the implementation of the initiative.
Aber says many Sacco group
members are shying away from the government’s initiative since they can’t
afford to save up to 30 percent of the money they are required to borrow, the lengthy time they spend on paper works and hefty subscription fees.
//cue in: “there is a…
Cue out:…to the accounts.”//
The legislator says there is a need
on the part of the government to loosen the stringent requirements and make available
information on the necessary processes of accessing the money.
//cue in: “we need thorough…
Cue out:…for the money.”//
Kitgum Resident District
Commissioner William Komakech reiterates that the bureaucratic processes of the
initiative has dragged the disbursement of funds to the intended beneficiaries.
Komakech however expressed happiness for the Chua West Tailoring Sacco group that
was the first in the district to qualify for the fund.
//cue in: “The all issue...
Cue out:…much much affordable."//
The presidential initiative was
launched in August 2019 and meant to support selected groups of people in respective
districts across the country to improve household incomes, enhance entrepreneurial
capacity of selected beneficiaries and increase access to specialized financial
services.
The initiative targets 18
specialized categories in the informal sector among others Boda Boda operators, taxi drivers,
teachers, journalists, market vendors, welders, restaurant owners, disable
persons, saloon operators, performing artists, veterans, fishermen, tailors,
youth leaders and elected leaders.
