For years, community savings and credit groups in Uganda have played a pivotal role in mobilizing resources and creating wealth, thereby facilitating socio-economic growth and transformation in local communities.
In response to the challenges facing these savings and loans associations, Gudie Leisure Farm has organized a conference to address existing gaps and weaknesses with an aim of equiping youth agripreneur champions with the necessary skills to transform their loan associations into strong and sustainable entities.
Speaking to journalists on Monday, Prof. Naiga Basaaza highlighted several challenges hindering the growth and sustainability of these groups, including poor leadership, weak management systems, lack of clear business strategies, limited product and service offerings, and insufficient capital. She warned that if these issues are not addressed soon, they could have significant negative impacts.
“The discussions will focus on the dynamics of local and international business environments affecting savings and credit facilities, strategies for exploiting opportunities, and mitigating threats to growth and sustainability,” she emphasized.
Scheduled for August 5 at the farm headquarters in Najjera, this symposium targets government institutions, development partners, and NGOs promoting youth-owned associations. It also aims to expose participants to development opportunities, offer collaboration platforms, and equip young people with technical and business skills to build profitable and competitive financial facilities.
Established with support from Gudie Leisure Farm, the business activities of youth agripreneur champions at the parish level are coordinated by the Parish Entrepreneurship Learning Associations (PLEAs). Recently, 388,513 youth from 873 parishes have subscribed, resulting in a net portfolio of UGX 2.5 billion.
Mrs. Florence Nampeera, a board member of Gudie Umbrella Fund, noted that their investment club brings together all associations to save and access credit at a rate of 0.5% per month. She further highlighted that this initiative was established to address the challenge of lack of access to significant capital and to reduce interest rates.
Twalib Onzima, the district Entrepreneurship Learning Association representative for Arua district, praised the loan associations for encouraging youth to embrace a saving culture, which has unlocked immediate funding access for the youth in Arua.
Onzima called upon youth across the nation to embrace this opportunity, as the symposium will enable agripreneur champions to learn best practices to enhance productivity, profitability, and competitiveness, and to develop strategies for resource mobilization.