national 4 March 2026 Howwe Entertainment
PDM Loan Repayments Set to Start in March 2026 After Grace Period Ends
Uganda's Parish Development Model (PDM) loans enter repayment phase in March 2026 as the two-year grace period concludes, with beneficiaries urged to repay within the following year to sustain the revolving fund. State Minister Dennis Galabuzi called for public sensitization amid MPs' concerns over misconceptions and implementation hurdles. Source: https://www.howwe.ug/news/national/42571/pdm-loan-repayment-phase-to-begin-in-march
The repayment phase for Parish Development Model (PDM) loans kicks off in March 2026, marking the end of a two-year grace period. Beneficiaries across various PDM Savings and Credit Cooperative Organizations (SACCOs) must begin settling their loans over the next year.
State Minister for Luwero Triangle and PDM National Coordinator, Hon. Dennis Galabuzi, shared this update during his appearance before the Public Accounts Committee on March 3, 2026. He explained that the initial disbursements occurred in the 2022/2023 financial year due to delays in the prior year.
Galabuzi stressed the need for parish chiefs and supervisors to educate the public on repayment obligations. He appealed to MPs for support in promoting the program as a vital revolving fund, warning that successful repayments would enable more people to benefit.
MPs voiced worries about public misunderstanding of the funds as non-repayable gifts. Hon. Patrick Nsamba (NUP, Kassanda County North) questioned the absence of a robust communication strategy to correct these views.
Hon. Joseph Ssewungu (Kalungu West County) highlighted poor communication and inactive PDM technical committees as key barriers, echoing Auditor General concerns on coordination and monitoring. He noted electoral backlash against coordinators due to lack of updates.
Hon. Fredrick Angura (NRM, Tororo South County) flagged 127 parishes without funding owing to missing elected leaders. Permanent Secretary Ben Kumumanya of the Ministry of Local Government attributed this to incomplete administrative structures, with local council elections pending funding.
The Auditor General’s report criticized undisseminated PRF payment guidelines and urged clearer roles for oversight committees.
Source: Howwe Entertainment