Rwampara SACCOs Default on Emyooga Funds
In January 2021, Rwampara District received Shs 1.4 billion for 36 Emyooga SACCOs across two constituencies, with each SACCO allocated an initial capital of Shs 30 million. However, as of now, none of these SACCOs have managed to repay their borrowed funds.
Nationally, the Emyooga initiative, launched in 2020, aimed to provide financial support to various community groups, with a total budget of Shs 265 billion earmarked for 1,000 SACCOs throughout Uganda. To date, approximately Shs 125 billion has been disbursed, but reports indicate that many SACCOs across the country are struggling with repayment, raising concerns about the program’s effectiveness.
During a parliamentary finance committee oversight meeting yesterday, several chairpersons from the Emyooga SACCOs in Rwampara attributed the poor recovery of funds to political interference and local governance challenges. They claimed that external pressures and influences have hindered their ability to collect repayments from members.
Amos Kankunda, the legislator for Rwampara County and chairperson of the parliamentary finance committee, addressed these concerns, stating that the committee has instructed the Resident District Commissioner’s office to initiate arrest proceedings against beneficiaries who have failed to repay the funds.
Kankunda emphasized the need for accountability, noting that if the situation persists, it could undermine the credibility of the Emyooga initiative and jeopardize future funding for community development projects.
