State Minister for Microfinance, Haruna Kasolo Kyeyune, has given Emyooga loan defaulters in the Teso sub-region a one-month ultimatum to repay their loans. This ultimatum comes after weeks of monitoring the progress of the Emyooga and Parish Development Model (PDM) programs in the region.
Minister Kasolo stressed that the grace period previously provided to the initial Emyooga fund beneficiaries for loan repayment has lapsed. During his inspection, he observed that only Ngora and Serere districts had recovered over 65 percent of the Emyooga funds, while the other districts were below 50 percent. The program grants beneficiaries one year to invest the funds before commencing loan repayment in the second year.
Under the Emyooga program, recipients are required to repay the entire amount with a 0.6 percent interest at the end of the second year. Minister Kasolo has directed the Resident District/City Commissioners to compile a list of Emyooga defaulters within one week.
The Teso sub-region received Shillings 24.6 Billion for Emyooga in the 2020/2021 financial year and an additional Shillings 48.6 Billion for PDM in the 2022/2023 financial year. According to Martin Akorikin, the State House Emyooga Coordinator for Teso, a considerable amount of funds was disbursed to various Savings and Credit Cooperative Organizations (SACCOs), but specific targeted groups like journalists, taxi operators, performing artists, and mechanics declined to apply for the funds. Around Shillings 160 Million remains unutilized in banks due to the absence of SACCOs.
Emyooga, part of the Presidential Initiative on Wealth and Job Creation introduced in 2019, aims to transition 39% of households from subsistence to market-oriented production. The Parish Development Model (PDM) launched in 2022 seeks to enhance service delivery and alleviate poverty at the grassroots level.
