Gulu City, Uganda – In a significant step towards formalizing the boda boda industry, the National Social Security Fund (NSSF) has enrolled over 2,000 boda boda riders into its Smart Life voluntary savings scheme. This development coincided with the first National Boda Boda Union Leadership Retreat held at Sacred Heart School in Gulu City.
The retreat, which brought together over 1,215 boda boda leaders from 135 districts across Uganda, aimed to foster national cohesion within the boda boda union and strengthen its relationship with the government. The goal is to build and fortify an industry that employs approximately one million youths in the country, making it a potentially significant player in the informal sector.
Despite its substantial contribution to employment, the boda boda sector has long grappled with internal conflicts, fragmentation among various groups, indiscipline, and security concerns.
These challenges have hindered the industry’s progress. Traffic accidents also remain a major issue, with police traffic reports from 2024 indicating that over 3,000 boda boda riders succumbed to road crashes nationwide.
According to the Boda Boda Union Chairperson, Mr. Frank Mawejje, these accidents are often attributed to low-quality motorcycle spare parts, limited awareness of insurance services and claim processes, inadequate sensitization on traffic rules and road safety protocols, and a lack of respect for road signs.
Mr. Mawejje emphasized the Union’s commitment to overcoming these challenges through collaborations with various partners. He highlighted the positive partnership with the National Social Security Fund (NSSF), through which approximately 3,000 boda boda riders have been enrolled in voluntary savings schemes under Smart Life Financial.
Mrs. Rebekah Kabogo Mugisha, the NSSF Senior Manager for Partnership and Business Development, explained that this initiative focuses on improving the savings and social well-being of members post-retirement and provides healthcare insurance for all boda boda riders within the union.
“We are committed and have entered into a great partnership, the first of its kind with the informal sector like the Boda Boda Union,” stated Mrs. Mugisha. “So far, we have registered over 2,000 individuals into our latest Smart Life Voluntary saving system, and we are looking forward to recruiting all 1.2 million boda boda riders. We believe this is a crucial step in transforming and improving the lives of our brothers and sisters in the industry.”
The Chief Coordinator of Operation Wealth Creation, Gen. Salim Saleh, who was the chief guest at the retreat, addressed the boda boda union leaders. During a discussion about the EMYOGGA fund, Mr. Richard Okuku, the Secretary for Local Government, expressed concern that the funds had been disbursed to some improper Savings and Credit Cooperative Organizations (SACCOs), leading to recovery challenges. He suggested that Gen. Saleh withhold further funds and instead support the Boda Boda Union, which has a clear administrative structure from the national to the grassroots level.
This response was reportedly not well-received by Gen. Saleh, who expressed concern that the full 9.5 billion shillings disbursed could not be clearly accounted for by the Secretary for Local Government.
Mr. Fred Muwema, the Legal Advisor to the Union, opined that the timing of the EMYOGGA fund disbursement was unfavorable, coinciding with the COVID-19 pandemic and the election period, leading some to perceive it as COVID-19 recovery or campaign funds. He committed to devising a better strategy for recovering the funds.
Gen. Salim Saleh voiced his disappointment regarding the unaccounted-for 9.5 billion shillings disbursed to various EMYOGGA SACCOs, expressing fears of potential embezzlement. He tasked Mr. Fred Muwema and Mr. Richard Okuku with revising and identifying ways to recover and remit the money. Gen. Saleh also cautioned the Union leaders about key obstacles to the growth of any cooperative union, including unclear agendas, high transaction costs, and prioritizing quick-return activities over potentially more profitable long-term investments. In conclusion, Gen. Saleh called for “Operation Harmony” within the boda boda industry and pledged to collaborate with the Union’s leadership for positive development.