Youth-led VSLA commends gov’t for availing affordable finance
APAC, October 24, 2025 — The Maruzi Youth Village Savings and Loan Association [VSLA], based in Apac Municipality, has praised the government for its continued financial support through the Microfinance Support Centre [MSC], citing affordable interest rates as a key driver of improved community livelihoods.
According to Gary Daniel Ogweng, the association’s Secretary, the VSLA received Shs 20 million earlier this year from the government-owned development finance institution, repayable at an 8 percent annual interest rate.
Speaking to the media after a recent sensitisation training on Islamic Financing for SACCO leaders organised by MSC in Lira City, Ogweng noted that the rate was significantly lower and more manageable than those charged by commercial banks.
“The low interest rate has positively impacted many lives in our community. It is affordable, the terms are fair, and compliance is easy. We are truly grateful to the government for this initiative,” said Ogweng.
He added that the association currently has 30 active members, with more community members expressing interest in joining due to the favourable loan terms and flexible repayment conditions.
“This support has enabled our members to expand their businesses, improve their livelihoods, and embrace a saving culture. It has eased the burden of high interest rates charged by commercial banks and private microfinance institutions,” he said.
Ogweng expressed optimism that, after successfully repaying the current loan, the group will qualify for a larger Shs 50 million facility in the next funding cycle.
Grace Apili, treasurer of the Oryemcan Savings and Credit Cooperative Organisation [SACCO] in Lira City West Division, also commended the government’s low-interest loan initiatives, highlighting their role in expanding income-generating activities, especially among women.
Apili explained that their poultry project, which began with just 500 birds, has now grown to over 3,000 birds thanks to the affordable financing received through government-backed programmes. The group has since diversified into goat rearing and established a tailoring department to train vulnerable mothers in the community.
“The low-interest loans have transformed our poultry business and empowered women to actively participate in economic activities — in some cases, even more than men,” Apili said.
She extended her appreciation to President Yoweri Museveni for the various wealth creation programmes that have enabled grassroots organisations to thrive and improve household incomes.
“Through these government initiatives, we have not only expanded our businesses but also built capacity among women, who are now more self-reliant and confident in managing their enterprises,” she added.
Williams Okweda, MSC’s Regional Manager, explained that under Islamic Financing, the Centre offers funding ranging from a minimum of Shs 5 million to a maximum of Shs 3 billion, with repayment periods spanning six months to four years, depending on the nature and scale of the business.
“With larger financing amounts, businesses are given the flexibility to trade and generate sufficient returns to meet their repayment obligations,” Okweda said.
He reiterated MSC’s commitment to inclusive economic development, emphasising that Islamic Financing is part of the government’s broader strategy to ensure no one is left behind.
https://thecooperator.news/lango-lra-victims-turn-to-vsla-to-boost-livelihoods/
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