Uwezo Fund: Official says state-run programme that gives interest-free loans has disbursed $13.943 million since inception

Uwezo Fund: Official says state-run programme that gives interest-free loans has disbursed $13.943 million since inception

0

The government has disbursed more than Ksh8.1 billion ($13.943 million) to groups since the inception of the Uwezo Fund kitty.

The funds have benefited over 86,000 groups comprising women, youth and persons with disability (PWDs) in all the 290 constituencies.

The least amount issued to a group is Ksh50,000 ($387), while the maximum allocation stands at Ksh500,000 ($3,873).

Uwezo Fund is a Kenya government flagship programme for Vision 2030 that gives interest-free loans to enabling women, youth and persons with disabilities access finances to promote businesses and enterprises at the constituency level. It is designed to enhancing economic growth towards Sustainable Development Goals No.1 (eradicate extreme poverty and hunger).

The national repayment rate for the zero-interest loans currently stands at 43 per cent, with the best-performing constituency recording a repayment rate of more than 90 per cent.

Uwezo Fund Manager for Capacity Building and Linkages James Donge made public the figures, noting that women groups performed better in loan repayment compared to youth and PWD groups.

Mr Donge said the fund has transformed livelihoods since its inception in the 2014/2015 financial year, enabling many women beneficiaries to educate their children and grow businesses, particularly through table banking initiatives.

“We have women who have established business structures and others who have educated their children abroad through proceeds from the fund,” he said.

In Teso North Constituency, the kitty has supported 414 groups that consist of 150 youth groups, 254 women groups and 10 PWD groups. The constituency has a repayment rate of 54 per cent.

Donge explained that the fund has introduced a labour mobility product that supports groups of five youths through the Micro and Small Enterprises Authority (MSEA) to secure employment opportunities abroad.

So far, 221 youths have benefited from the programme, receiving funding totalling more than Ksh36 million ($278,856) with most travelling to countries such as Dubai and Russia for work. He spoke during a three-day Teso North Constituency youth conference held at Chemasiri Technical and Vocational College (TVC) that ended on Saturday.

The conference organised by Teso North Member of Parliament Oku Kunya under the theme: Empowering youth through skills, knowledge and sustainable opportunities.

At the close of the event, the MP announced that more than 1,035 youths had registered for Recognition of Prior Learning (RPL), while 1,000 signed up for Chinese and German language training.

“Another 882 youths expressed interest in overseas employment opportunities during the conference,” he added.

He also said that Chemasiri TVC has signed a Memorandum of Understanding (MoU) with Signet Institute Australia to serve as a training centre for the Australian curriculum in Western Kenya, aligning the workforce with global market demands.

  • A Tell Media / KNA report / By Moses Wekesa
About author

Your email address will not be published. Required fields are marked *