Gender Minister Betty Amongi has provided an update on the implementation of the Generating Growth Opportunities and Productivity for Women Enterprises (GROW) Project launched by President Yoweri Museveni last year.
The project is the government initiative funded by a Grant from the International Development Association of the World Bank, aimed at increasing access to entrepreneurial services that enable female entrepreneurs to grow their enterprises, including refugee women and women in host districts.
It was designed to respond to multiple constraints hindering women in business (entrepreneurs) from growing their businesses that include but are not limited to inadequate business management skills; lack of access to affordable capital; limited access to common user manufacturing infrastructure and negative social norms that affect their participation in business.
At press briefing on 10th Oct, Minister Amongi provided an update on the GROW loans saying government signed agreements with the initial five (05) Commercial Banks valued at UGX 98.55 billion of which UGX 26.052 billion was advanced to the Participating Financial Institutions (PFIs) in August 2024.
“By 25th September 2024, UGX 18.98 billion had been lent out to 1,193 women entrepreneurs Financial Institutions (PFIs) in August 2024,” she says.
“Of these, 995 (83%) women entrepreneurs received loans in the category of UGX 4-20 million with value of UGX 9.03 billion; 132 (11%) women entrepreneurs borrowed amounts in the range of UGX 20-40 million with total amount of UGX 3.97 billion while 66 (5.5%) borrowed under the category of 40-200 million with a value of UGX 5.987 billion,” she added.
The participating commercial banks include Centenary, Post Bank, Finance Trust Bank, DFCU bank and Equity bank according minister Amongi.
She added that it should be noted that women entrepreneurs who will pay back their loans as scheduled, halfway through their loan period will receive a grant/reduction of their loan value by 5%.
“As affirmative action, refugee women and those in refugee host communities that will pay well, will also receive a grant of 8% of their loan value, while women entrepreneurs from ethnic minorities and those from Karamoja, Busoga and Bukedi regions will receive grants of 10% of their loan value as a reward for good performance,” she says.
She says working with the Participating Financial Institutions, the Government is going to make deliberate efforts to improve awareness and mobilization of women in the under-served areas to improve uptake and equity.
“In addition, Microfinance Institutions (MFIs), and Savings and Credit Cooperatives (SACCOs) will be brought onboard to serve women entrepreneurs who may not have access to the traditional banking services,” she added.
