The Ugandan government has disbursed Shs 529 billion to parish-level Savings and Credit Cooperative Organizations (SACCOs) under the Parish Development Model (PDM), aiming to boost financial inclusion and strengthen grassroots economic activity. The funds, part of a broader effort to promote savings, investment, and entrepreneurship in rural communities, are expected to empower thousands of households and support local development initiatives.
The disbursement represents a significant step in the government’s strategy to enhance access to credit for ordinary Ugandans who traditionally face barriers in accessing financial services. By targeting SACCOs, which operate at the parish level, the program ensures that funds reach communities directly, helping members to start businesses, invest in agriculture, and improve household livelihoods.
Officials emphasized that the PDM is designed to encourage disciplined savings, promote collective investment, and reduce reliance on informal borrowing that often comes with high interest rates. Members of the SACCOs will be able to access loans, receive training on financial management, and participate in cooperative decision-making processes, creating a foundation for sustainable economic growth at the local level.
The initiative is part of a broader national plan to stimulate rural economies, reduce poverty, and foster self-reliance among citizens. With proper management, accountability, and monitoring, the funds are expected to catalyze meaningful economic activity, generate employment, and improve standards of living in Uganda’s rural parishes.