Low absorption of the Generating Growth Opportunities and Productivity for Women Enterprises (GROW) project funds implemented by the Ministry of Gender, Labour and Social Development (MoGLSD) is threatening the success of the project, the Auditor General’s report for 2023/24 has revealed.
The project aims to provide entrepreneurial services to enable female entrepreneurs to grow their enterprises in targeted locations, including host and refugee districts.
The project worth USD.217Mn (Shs799.6bn) is funded by the World Bank and became effective on 20th January 2023.
It targets to benefit over 60,000 female owned enterprises including 3,000 refugee-owned business, 280,000 women entrepreneurs and employees including 42,000 refugees, 14,000 host community members and 1.6 million indirect beneficiaries.
However, the Auditor General reveals that out of the total disbursement of Shs52.18bn, only Shs10.96Bn (21%) was expended, resulting in an unspent balance of Shs41.22bn.
“The unspent funds were still held on the Project bank accounts by the time of this report. The low absorption was attributed to the delays to develop manuals and recruit staff,” the report says, adding: “In addition, MoGLSD had not yet trained and sensitised beneficiaries. The Accounting Officer explained that training and sensitization of the women entrepreneurs would commence in February 2025, since the development of the curriculum was concluded.”
The Auditor General advised the Accounting Officer to expedite the training and sensitization programs to ensure that the beneficiaries can apply and thereafter utilize the funds for their enterprises.
