The government has revealed its intention to identify and publicize the names of individuals who have received loans from the Emyooga program but have not repaid the borrowed funds. The Emyooga project, part of the presidential initiative on wealth and job creation, has aimed to support microfinance and small enterprises across the nation. This initiative is under close scrutiny by Hon Haruna Kasolo Kyeyune, the Minister of State for Microfinance and Small Enterprises.
Minister Haruna Kasolo Kyeyune, who was in Teso to assess the performance of the Emyooga program and the Parish Development Model, disclosed that, in collaboration with Emyooga coordinators and the microfinance support center, the government intends to publicly name and shame these defaulters on local radio stations. This action comes as a response to the mounting concerns regarding the repayment of loans by Emyooga beneficiaries.
“I have instructed the Resident District Commissioners (RDCs) in all districts in the Teso sub-region, along with commercial officers, to compile a list of individuals who have defaulted on their loan payments. These names will be broadcasted on local radio stations,” stated the minister during his visit to Kaberamaido, Amuria, and Ngora districts on Wednesday.
Minister Kyeyune expressed his concern about the lack of loan repayments, stating that, during his visits, he observed that Sacco members were not returning the borrowed money to the Sacco accounts. He emphasized that the purpose of these loans was to improve the financial well-being of the beneficiaries and their households by facilitating investments and economic growth. He further warned that, within the next 30 days, action would be taken to apprehend those who have failed to repay their loans.
In response to this development, a beneficiary of the Emyooga program, Ms. Grace Apedun, who received Shs600,000, acknowledged the merit of the project but explained that the funds were distributed during the challenging times of the COVID-19 lockdown. She argued that the economic impact of the lockdown prevented her and others from generating profits, as the money was primarily used for medical expenses and purchasing essential food items.
On the other hand, Mr. Gabriel Ejoru, the commercial officer of Kaberamaido district, expressed his concerns regarding the absence of a legal framework for prosecuting defaulters. He stated that he was unsure of how to proceed in addressing the issue. Reports indicate that over Shs10 billion in Emyooga funds were disbursed to Sacco groups, yet nearly 80 percent of these funds remain unrecovered.
Mr. Vector Rex Ekesu, the Kaberamaido District chairman, appealed to the public to approach government projects with a positive attitude and to utilize the seed capital provided for their self-improvement rather than frivolous expenditures. He urged beneficiaries not to merely consume the funds.
Ms. Clare Ayipo, the deputy Resident District Commissioner (RDC), issued a stern warning to defaulters, emphasizing her readiness to take legal action against those who do not fulfill their loan repayment obligations.
