Reports from local leaders in Oyam district indicate that the stress caused by the Village Savings and Loan Association (VSLA) during this Christmas season is compelling residents in Oyam district to sell off their properties, such as bicycles, motorcycles, and other household items, at lower prices to repay loans acquired from VSLA.
Many VSLAs are currently in the process of disbursing the funds saved over the year, and members who borrowed money are required to repay it with the accumulated interest. However, some are facing financial challenges in repaying the money, and reports suggest that they have disappeared from their homes.
Mose Okello, the chairperson of LC One Apur-bwonyo in Acaba sub-county, Oyam district, reveals that his office receives one to two complaints every day this month from VSLA groups regarding members who borrowed money but have not repaid it.
Robert Ogwal, LC One chairperson of Kutodingo village in Otwal sub-county, Oyam district, points out that the challenges stem from the dependence on the second harvest. This year, the prices of crops are low, and some crops are still in the gardens, making it difficult for people to obtain money to repay loans on time.
