In a press statement released today, October 10, Minister of Gender, Labour and Social Development Betty Amongi provided a comprehensive update on the Generating Growth Opportunities and Productivity for Women Enterprises (GROW) Project. Launched by President Yoweri Museveni last year, GROW aims to increase access to entrepreneurial services for female entrepreneurs, including refugee women and those in host districts.
The project addresses multiple constraints hindering women entrepreneurs, such as inadequate business management skills, lack of access to affordable capital, limited access to manufacturing infrastructure, and negative social norms.
Amongi announced that the government has signed agreements with five commercial banks, valued at UGX 98.55 billion, with UGX 26.052 billion advanced to Participating Financial Institutions (PFIs) in August 2024.
By September 25, 2024, UGX 18.98 billion had been lent to 1,193 women entrepreneurs. The loan distribution breaks down as follows:
- 995 (83%) women entrepreneurs received loans of UGX 4-20 million, totaling UGX 9.03 billion
- 132 (11%) women entrepreneurs borrowed UGX 20-40 million, totaling UGX 3.97 billion
- 66 (5.5%) women entrepreneurs borrowed UGX 40-200 million, totaling UGX 5.987 billion.
The participating commercial banks include Centenary, Post Bank, Finance Trust Bank, DFCU bank, and Equity bank.
Amongi highlighted that women entrepreneurs who repay their loans on schedule will receive a 5% grant or reduction of their loan value. Refugee women and those in refugee host communities will receive an 8% grant, while women entrepreneurs from ethnic minorities and those from Karamoja, Busoga, and Bukedi regions will receive a 10% grant.
The government plans to improve awareness and mobilization of women in underserved areas, partnering with Participating Financial Institutions. Microfinance Institutions (MFIs) and Savings and Credit Cooperatives (SACCOs) will also be brought onboard to serve women entrepreneurs without access to traditional banking services.