State House Urges Skilling Hub Graduates: Manage Loans Wisely for Increased SACCO Funding

Ms. Jane Barekye, the State House Comptroller, has issued a strong caution to individuals who have benefited from the Presidential Industrial Skilling Hubs. She urged them to use the government-provided start-up loans responsibly and refrain from mismanaging these funds.

During a recent engagement in Kyenjojo District, Ms. Barekye specifically advised against using the loans for non-productive activities such as alcohol consumption or paying bride price. “The President is going to add more money to these SACCOs. What we need from you is financial discipline. First invest the money in the rightful projects. After your businesses grow and start making profits, you can then use the proceeds for things like bride price, but not these loans. Please don’t play with the President’s money,” she stated.

The Shs50 million allocated to each district SACCO is a pilot initiative aimed at enabling graduates to transform their acquired skills into sustainable income-generating ventures. State House is collaborating with local leaders to evaluate the program’s effectiveness and address any challenges faced by beneficiaries.

Ms. Barekye implored leaders to actively monitor district SACCOs, ensuring that the funds distributed by the President reach the intended recipients and are invested appropriately. A finance manager has been deployed to enhance supervision and track fund utilization.

Local governments are encouraged to support these graduates by awarding them contracts and tenders, particularly for items they are trained to produce, such as school desks and furniture. Furthermore, communities are invited to utilize the hub’s four-acre model farm for practical agricultural training.

Despite some challenges, such as the need for National IDs to access loans, several graduates shared testimonies of how the program has positively transformed their lives, enabling them to establish businesses and improve their livelihoods.

This stakeholders’ meeting is part of an ongoing assessment by State House to gather feedback and ensure the success of the Presidential Industrial Skilling Hubs, graduate SACCOs, and model farms. The revolving fund was established to provide capital for graduates lacking the means to start their own enterprises after acquiring vocational skills.

Source: State House (Uganda)