By Sharon Basilika | Mukono
Mukono District officials have expressed concern over delays in the repayment of loans issued under the Parish Development Model (PDM), warning that the low recovery rate is limiting access to funds for other households.
The district PDM focal person, Kenneth Ntege, says many beneficiaries have failed to repay their loans on time, affecting the programme’s revolving fund.
Ntege also blamed technical challenges with the Wendi digital money transfer system, which he said had made it difficult for some beneficiaries to access and repay their loans.
He called on financial institutions contracted by the government to improve their systems and address the challenges affecting loan disbursement and repayment.
Ntege made the remarks while presenting a performance report during the district’s budget conference for the 2027/2028 financial year at Colline Hotel in Mukono.
According to the report, Mukono District has received Shs35.8 billion under the PDM, of which Shs30.7 billion has been disbursed to 33,058 households, representing 85.56 per cent of the funds received.
Under the programme, each beneficiary household is entitled to a Shs1 million loan to invest in income-generating activities.
Ntege said the programme attracted considerable interest when it was launched in February 2022, with many residents registering to benefit.
However, he noted that some beneficiaries initially mistook the loans for government grants and did not fully understand their repayment obligations.
He said the misunderstanding had contributed to repayment challenges, with some beneficiaries reluctant to return the money.
Ntege warned that continued delays in loan recovery would affect the programme’s ability to support more households.
Mukono District Chairman Francis Lukooya welcomed the government’s investment in the PDM, saying it had helped residents establish income-generating activities and improve their livelihoods.
He urged beneficiaries to honour their repayment obligations to allow other households to access the revolving funds.
Lukooya said the district’s proposed 2027/2028 budget would also prioritise economic empowerment programmes targeting women, single mothers and young people.
He called on local leaders to strengthen supervision of government programmes and ensure resources reach the intended beneficiaries.
Meanwhile, Mukono District Chief Administrative Officer Henry Ddamba presented the district’s performance during the previous financial year and outlined priorities for 2027/2028.
Ddamba warned public officials against diverting government funds for personal use and called for greater accountability in the management of public resources.
The district’s budget priorities include improving service delivery in education, health, agriculture, roads and water, alongside strengthening local revenue collection to support development projects.
