Formation of SACCOs stirs confusion among Emyooga beneficiaries in Mukono

Presidential initiative Emyoga’ beneficiaries gathered at Mukono municipality. Courtesy photo

Kampala, Uganda | THE INDEPENDENT | Groups that subscribed to benefit from the presidential initiative for wealth and job creation ‘Emyooga’ in Buvuma and Mukono district have raised concerns about the formation of Savings and Credit Cooperative Societies- SACCOs.

Several group members claim that they were promised to receive and have full control of the funds by the district leaders after fulfilling all the requirements, but are instead directed to form and register their groups under SACCOs at the sub-county level.

According to the guidelines, after the beneficiaries have formed groups at the village level, they are supposed to form a SACCO at sub-county level through which money will be channeled.

However, beneficiaries claim that they were not informed about all the guidelines.

James Sitibwakuno, a market vendor at Buvuma says that after submitting all the requirements, their group has been waiting for money but was surprised to be told to register under a SACCO.

Abubaker Musana, a fisherman at Buvuma says they have been tasked to contribute 30,000 Shillings to register a SACCO.

The Mukono district commercial officer James Ntege appeals for calm. He says that the beneficiaries should fulfill the requirements and then wait for the funds. He notes that SACCO executives are only entitled to monitor the transfer of money to active groups.

Records at the office of the District Commercial Officer indicate that 500 groups have registered to benefit from the program though about 50 of them have complied to form SACCOs.

Yusufu Katongole, a restaurant operator says group members are being discouraged to fulfill all the requirements saying it is a government trick of delaying the registration process.

The program was introduced by President Yoweri Kaguta Museveni this year to offer seed capital to the informal sectors that come together to form groups.

Each successful group which comprises saloon operators, boda-boda operators, produce dealers, women, business communities, youth, carpentry and joinery among others will receive thirty million shillings’ seeds capital.

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