Parliament Urges Improved Banking Access for Successful Implementation of Parish Development Model

Members of Parliament have advocated for enhanced access to banking services to facilitate the smooth disbursement of funds to beneficiaries under the Parish Development Model (PDM) program.

During the debate on the Report of the Committee on Public Service and Local Government addressing the status of the Parish Development Model’s implementation, MPs emphasized the necessity of addressing challenges hindering the success of the program, particularly in the financial inclusion pillar.

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Hon. Bosco Okiror (NRM, Usuk County) pointed out the difficulties faced in districts like Kapelebyong, Amuria, and Katakwi, where the absence of financial institutions, including banks, hampers PDM implementation. Residents are compelled to travel to neighboring districts like Soroti to access funds.

Butaleja District Woman Representative, Hon. Florence Nebanda, highlighted the lack of banking institutions in her district, leading residents to travel to Mbale district for financial transactions. She emphasized the need for streamlined services to prevent unnecessary delays and frustration.

Hon. Jennifer Driwaru (NRM, Maracha District) raised concerns about beneficiaries spending nights in neighboring districts like Arua and Koboko while waiting to receive PDM funds.

In response, Speaker Anita Among advised the Minister for Local Government to explore the introduction of mobile banking services in districts without established banking institutions. The aim is to bring financial services closer to beneficiaries and eliminate the challenges associated with long journeys.

Committee Chairperson, Hon. Martin Ojara Mapenduzi, highlighted initiatives by some banks, such as Postbank’s Wendi platform, designed as a mobile wallet to facilitate fund access without the need to visit a physical bank. He emphasized the importance of engaging with banks to address concerns stemming from changes in the terms and conditions.

The Committee report recommended continuous engagement between the government (Ministry of Finance and Ministry of Local Government) and banking institutions to reconcile issues arising from modifications in the terms of engagement with banks.

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Hon. Peter Ocen (Ind., Kole South County) proposed facilitating parish chiefs and sub-county chiefs to combat cases of extortion from beneficiaries for services. Meanwhile, Hon. Laura Kanushu (NRM, PWD Representative) and Hon. Akol Anthony (FDC, Kilak North County) suggested intensive mindset change activities to guide beneficiaries on the proper utilization of PDM funds.

Minister for Local Government, Hon. Raphael Magyezi, committed to presenting a comprehensive report to Parliament every six months on the performance of the PDM program.