In a landmark move set to revolutionize women’s entrepreneurship in Uganda, the World Bank, through the Private Sector Foundation Uganda (PSFU), has announced an unprecedented grant of USD217 million (over Shs807 billion). This transformative initiative aims to provide women entrepreneurs across the nation with unparalleled access to capital at significantly low interest rates.
Unveiled on August 21, 2024, by Dr. Ruth Biyinzika Kasolo, the Project Coordinator, at their PSFU headquarters in Nakasero, Kampala, the grant is part of the Grow Financing Facility (GFF) and is designed to combat poverty at the grassroots level. The initiative, aptly named ‘GROW,’ seeks to empower Ugandan women by providing them with affordable credit options, enabling them to transition from micro-enterprises to small and medium-sized businesses.
Dr. Biyinzika highlighted the project’s alignment with the Government’s National Development Plan III (NDP III), which focuses on promoting women’s economic empowerment and leadership. She stated, “The GROW project is more than just financial assistance; it’s a comprehensive effort to dismantle the barriers faced by women entrepreneurs. By partnering with several commercial banks, we aim to offer women access to capital with interest rates as low as 10% for loans ranging from Shs4 million to Shs200 million.”
The GROW initiative is a collaborative effort supported by the Ministry of Gender, Labour, and Social Development (MGLSD) and the International Development Agency (IDA). It also targets female entrepreneurs in refugee and host communities, ensuring that the benefits of this program are felt across various demographics.
Key Components of the GROW Project
The GROW project is strategically divided into four key components to ensure comprehensive support for women entrepreneurs:
1. Empowerment and Enterprise Development (USD42 million):
This component focuses on providing essential training and business advisory services. Women will receive technical, life-skills, and digital training through collaborations with institutions like Makerere University Business School. The aim is to enhance market linkages and support women in overcoming negative social norms that hinder their business activities.
2. Access to Finance (USD90 million):
The project will facilitate access to finance for women entrepreneurs, addressing the critical barrier of financial inclusion. This component will support women in expanding their businesses from micro to small and medium-sized enterprises.
3. Infrastructure and Facilities (USD70 million):
This segment is dedicated to creating essential infrastructure and facilities, including common user and childcare facilities, to support the growth and transition of women-owned enterprises.
4. Program Management and Innovation (USD15 million):
The final component focuses on program management, policy innovation, and evidence generation to ensure effective implementation and continual improvement of the GROW project.
How to Access GROW Funding
The GROW project is open to women of all ages, including individuals, savings and credit cooperative organizations (SACCOs), and women’s groups. Dr. Biyinzika emphasized that accessing the funds is straightforward: simply visit one of the partnering banks—Finance Trust Bank, Centenary Bank, DFCU, Equity Bank, or Post Bank—and inquire about the GROW project.
This initiative is set to create a ripple effect, benefiting women throughout Uganda, regardless of their religious, cultural, or political affiliations. Dr. Biyinzika urged all women to seize this opportunity to enhance their livelihoods and establish small-scale enterprises.
For more updates on this groundbreaking project and other initiatives supporting women entrepreneurs, visit Publicist East Africa.