Kapchorwa cooperatives urged to tap affordable government loans
KAPCHORWA, November 11, 2026 — Cooperative leaders, farmers, and small-scale business owners in Kapchorwa district have been urged to take advantage of affordable government financing facilities to expand their businesses, boost agricultural production and improve household incomes.
The call was made during a community sensitisation meeting organised recently by the Uganda Cooperative Alliance [UCA], in partnership with Agritera under the FORT Project and the Bank of Uganda [BoU], at Kapchorwa Boma Grounds.
The meeting aimed to raise awareness about the Small Business Fund [SBF], and the Agricultural Credit Facility [ACF], with particular emphasis on their accessibility, benefits and opportunities for cooperatives, farmers and small-scale entrepreneurs.
Addressing participants, UCA Eastern Region Coordinator Timothy Bisagati emphasised the role of cooperatives in promoting economic empowerment and improving community livelihoods.
He urged cooperative representatives to embrace collective responsibility, strengthen their organisations and take advantage of available government programmes to improve their economic activities.
“Cooperatives provide an important platform through which communities can organise themselves, mobilise resources and access opportunities that may be difficult to achieve individually. Our members need to understand these programmes and use them to improve their livelihoods,” he said.
Representing Agritera, Cooperative Advisory Representative Christine Angu said the FORT Project was implementing interventions targeting farmers’ organisations to strengthen their institutional capacity and support agricultural development.
She said the project was supporting 180 farmers’ groups, including 60 producer cooperatives and 60 Savings and Credit Cooperative Societies [SACCOs].
Angu added that the project covered five subregions of Uganda: Kigezi, Elgon, Busoga, Lango, and Rwenzori.
“Our major focus is empowering SACCOs, cooperatives and farmers’ organisations through training and capacity building. We want these organisations to become stronger and more effective in serving their members,” she said.
She explained that the project adopts the FORT approach, which involves identifying challenges facing farmers and developing appropriate interventions to address them.
“We first identify the challenges farmers are facing because we believe that solutions must respond to the actual needs of the people. Through this approach, we are able to understand the gaps and support farmers’ organisations with relevant training and guidance,” she said.
Angu urged cooperative leaders to actively participate in the project activities, noting that stronger farmers’ organisations were essential for improving agricultural productivity and creating sustainable livelihoods.
Meanwhile, Bank of Uganda representative Doreen Muinda Namarome highlighted the financing opportunities available under the Small Business Recovery Fund and the Agricultural Credit Fund, describing them as key interventions to support business recovery and agricultural investment.
She said small-scale business owners could access unsecured loans of up to Shs 50 million at an annual interest rate of 12 percent.
Namarome added that the Agricultural Credit Facility provides loans of up to Shs 250mln, with repayment periods of up to eight years and grace periods of up to three years.
“These financing facilities are intended to support small-scale business owners and farmers who need affordable credit to improve their businesses and agricultural enterprises,” she said.
She added: “Under the Agricultural Credit Facility, farmers can access financing of up to Shs 250 million, repayable within eight years, with a grace period of three years. This gives agricultural investors time to establish and develop their projects before beginning repayment.”
Namarome urged participants to seek further information about the facilities and familiarise themselves with the procedures for accessing the funds through participating financial institutions.
She also cautioned prospective borrowers against misusing borrowed funds, stressing the importance of financial discipline and investing loans in productive activities.
Kapchorwa District Commercial Officer Justine Jims Yeko also addressed the meeting, emphasising the need for business owners and cooperative members to strengthen their operations and embrace available economic opportunities.
She encouraged entrepreneurs to improve their financial management practices, maintain proper business records and work closely with relevant district offices for guidance on enterprise development.
“Access to affordable financing is an opportunity for our business community to grow. However, business owners must be prepared to manage their enterprises properly, keep records and ensure that borrowed money is invested in productive activities,” she said.
Yeko urged cooperative leaders to share the information acquired during the meeting with their members to ensure that more people benefit from the available financing programmes.
In his closing remarks, the Principal Chief Administrative Officer of Kapchorwa district commended UCA, Agritera and the Bank of Uganda for extending the sensitisation programme to the district.
He urged cooperative leaders, farmers and small-scale business owners to translate the knowledge acquired into practical action by embracing responsible borrowing and strengthening their enterprises.
“Government programmes are intended to improve the livelihoods of our people, but their success depends on how well communities understand and utilise the available opportunities. I encourage our farmers, cooperatives and business owners to take advantage of these financing facilities to grow their enterprises and improve household incomes,” he said.
The Principal CAO emphasised the importance of accountability, proper planning and financial discipline, noting that access to credit must be accompanied by responsible investment to achieve sustainable development.
He also called for continued collaboration among government institutions, development partners and community organisations to ensure that economic empowerment programmes reach their intended beneficiaries.
The meeting concluded with a call for cooperatives and small-scale business owners to embrace the available financing opportunities, strengthen their organisations and promote a culture of savings, investment and responsible borrowing.
The sensitisation exercise is expected to increase awareness of the SBF and the ACF while strengthening farmers’ organisations and small businesses to contribute to economic transformation in Kapchorwa district.
https://thecooperator.news/kapchorwa-councillors-raise-alarm-over-alleged-pdm-extortion-favouritism/
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