Victoria Ssekitooleko the Vice Chairperson of PSFU testing Sweet Wine made by women at Trade show organised at Kasana Playground
As the country prepares to celebrate International Women’s Day on Tuesday, URN survey finds that Ugandan women engaged in small scale enterprises are struggling to access financial services so as to recover from a devastating COVID-19 lockdown.
Several small scale businesses closed, others limping and some downsized so as to stay afloat during COVID 19. Several small scale businesses are owned by women.
In January this year, President Yoweri Museveni fully reopened the economy two years after he imposed lockdown due to outbreak of COVID 19.
Now the women are picking up pieces but are mostly struggling to recover from COVID-19 lockdown over lack of financial support.
Daisy Nakamya the Supervisor of Uni Trust Community Development Company in Luwero district says that before COVID-19 lockdown they had mobilized over 1,000 women to engage in making liquid soap and charcoal briquettes.
Nakamya however notes that during lockdown, the market for products dropped and women stopped saving making it difficult to raise funds to buy raw materials.
Nakamya says that although the economy has fully been reopened, many are yet to recover and efforts to acquire start-up capital for Small scale business has failed to yield positive results because they lack collateral security.
Elizabeth Ddamulira the Treasurer of Merisa Beverages Development Association in Luwero district says that they mobilized 50 women to engage in making juice but COVID-19 lockdown disrupted their sales.
Ddamulira says they have spent almost all their capital to pay rent arrears accumulated during the time of COVID-19 lockdown making it difficult to get money for investment.
She says that they fear applying for loans in banks because they are not sure of repayment over instability in business.
Grace Nanyonga, the Chief Executive Officer of Grana Fish Supplies Limited in Mukono district, says that after failing to access government grants, she was forced to use her land title to secure a bank loan to support her business so that it can recover from the lockdown.
Agnes Nakato the Chairperson of Luwero Women Little People Association says that they are stuck after failing to secure 30 million shillings needed to buy the necessary equipment to make chalk for schools.
The association used all the money they had to replace raw materials which had expired during the lockdown.
Although the government announced a recovery fund for small scale businesses, many women say they are yet to access it due to prohibitive conditions and lack of information.
Now Women in small scale businesses are appealing to the government to ensure they access startup grants with no interests so as to revamp their business.
Ahead of Women’s day celebrations, the Private Sector Foundation Uganda organized a trade show at Kasana playground in Luwero town to enable women showcase their products and share experiences.
Annet Nakigudde Ssebugwawo the head of Micro Enterprises at Equity Bank said that they have introduced unsecured loans targeting youths and women who were hit hard by COVID-19.
Nakigudde says that to access the loan, applicants must form a group but each individual will access a loan of up to five million shillings unsecured loan.
Nakigudde adds that to access the loan, all applicants must undergo financial literacy and this is important in the success of their projects.
Victoria Ssekitooleko the Vice Chairperson of Private Sector Foundation Uganda says that they have also introduced a special grant targeting women and they should apply for it.
Uganda will join the rest of the World to mark Women’s day on Tuesday 8th March 2022.
This year’s International theme will be “Gender equality today for a sustainable tomorrow”.
–URN
