GROW Project Funds Clarified as Loans, Not Grants

In a recent session of Parliament on September 18, 2024, Hon. Henry Musasizi, the Minister of State for Finance, Planning and Economic Development, addressed concerns regarding the Generating Growth Opportunities and Productivity for Women Enterprises (GROW) project. Responding to Gulu City Woman MP Hon. Betty Aol, who highlighted confusion over the nature of the funds, Musasizi confirmed that the GROW funds are loans, not grants.

Aol expressed frustration over contradictory information, noting that women’s groups trained to access the fund are now facing unexpected challenges, such as banks requiring land titles. “Where are women going to get land titles from?” she questioned.

Musasizi explained that loans available to women’s groups range from Shs4 million to Shs200 million, with interest rates between 10% and 10.5% per annum, dependent on the lending bank’s rates. Key requirements for accessing these loans include maintaining an account with the lending bank, providing collateral, a business license, and a recommendation from Local Council 1.

The GROW project, funded by Shs180 billion, aims to support women with existing businesses that have previously benefited from programs like Emyooga and the Uganda Women Entrepreneurship Programme. Musasizi reassured MPs that the initiative is not open to everyone and promised a detailed report on its implementation by September 25, 2024.

Deputy Speaker Thomas Tayebwa emphasized the need for clarity and accountability regarding the project’s rollout.