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Soroti Emyooga SACCO leaders tasked with recovering funds

Since its inception in 2019, Soroti City has disbursed Shs 1.62 billion under the Emyooga programme, with an additional Shs 500 million allocated to the best-performing SACCOs

SOROTI CITY, May 19, 2025 –– Musa Oroma, the Assistant Resident City Commissioner [ARCC] of Soroti City, has urged Emyooga SACCO leaders in the area to ensure the recovery of loans disbursed to members over the past few years.

The Emyooga programme, a presidential initiative aimed at wealth and job creation, was launched in August 2019. It forms part of the government’s broader strategy to transition 68 percent of Ugandan households from subsistence to market-oriented production, with the ultimate goal of job creation and improved household income.

Oroma emphasised that all beneficiaries of the Emyooga programme are obligated to repay their loans, warning that political influence, titles, or positions will not shield defaulters from enforcement actions.

“At the end of the day, the money must be paid back. There is no politics in it—no titles, no positions,” Oroma stated.

Addressing Emyooga SACCO executives on Friday, Oroma revealed that authorities are aware of some beneficiaries who are reluctant to repay the loans, suggesting that certain politicians might also be implicated.

He cautioned beneficiaries against engaging in divisive political intrigues, reminding them that while political participation is their right, it must be exercised responsibly.

Bekar Nambale, Zonal Manager for the Microfinance Support Centre in the Teso Subregion, announced a shift in the disbursement model. Starting next financial year, the programme will provide physical items to beneficiaries rather than cash.

Nambale explained that groups such as boda boda riders, hairdressers, welders, tailors, and mechanics will receive equipment to support job creation.

“An additional motorcycle, for example, creates another job. Going forward, commercial officers will not handle disbursements,” he said.

He added that this model had already been successfully piloted with boda boda groups in Katakwi District, with impressive performance. Funds will now be transferred directly to suppliers.

However, Nambale criticised the poor performance of many SACCOs in accounting for disbursed loans. He noted that an additional Shs 20 million is available but will only be given to SACCOs that demonstrate responsibility and strong performance.

To improve the mindset of SACCO members, Nambale said a few representatives will be taken on a benchmarking visit to Greater Masaka. These members will be expected to return and share the insights gained with others.

“Commercial officers, kindly identify people who are willing to learn and capable of sharing knowledge with their fellow members,” he requested.

George Tukei, Soroti City Commercial Officer, reported that of the 1,006 registered associations linked to Emyooga SACCOs in the city, only 466 remain active. He called for a comprehensive verification exercise.

“This raises the question of whether the rest are ghost SACCOs. We need a fresh verification,” Tukei said.

He also appealed to the Ministry of Finance to issue clear guidelines on loan recovery, citing ambiguity that hinders efforts to recover funds from certain individuals.

Paul Batanda, the Soroti City Clerk, warned that if government programmes are mismanaged or fail, they risk being abandoned, as happened with earlier initiatives like Entandikwa.

“When you receive government funds, use them wisely and repay them. Strive to be part of the best-performing SACCOs,” he advised.

Batanda also encouraged SACCO leaders to engage directly with members struggling to repay their loans, noting that defaults can impact the entire group.

George Muron, Chairperson of the Journalists’ SACCO for Soroti City West Division, voiced his frustration at being asked to secure an office space in order to access an additional Shs 20 million, despite their strong performance.

Since its inception in 2019, Soroti City has disbursed Shs 1.62 billion under the Emyooga programme, with an additional Shs 500 million allocated to the best-performing SACCOs.

https://thecooperator.news/emyooga-programme-boosting-saving-culture-in-uganda-as-savings-reach-shs-87bln/

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