Uganda: Govt Surpasses Shs 3 Trillion in PDM Transfers to Parishes

19 November 2025
Nile Post (Kampala)
By Ramson Muhairwe

The government has crossed a major milestone in the implementation of the Parish Development Model (PDM), with total transfers to parishes now standing at Shs 3.216 trillion, according to the Ministry of Finance, Planning and Economic Development.

The milestone comes as Finance Minister Matia Kasaija this morning announced the release of Shs 259 billion as the first tranche of PDM capitalisation funds for the 2025/26 financial year. Beginning tomorrow, all 10,589 verified PDM SACCOs will receive Shs 50 million directly into their accounts.

Under the PDM financing framework, each parish SACCO receives Shs 100 million per year, released in two instalments of Shs 50 million every six months. The minister said the regularity of these disbursements is intended to ensure steady capitalisation and effective lending to households.

Kasaija, while officiating the release at the Ministry headquarters, said the financial commitment so far demonstrates government's resolve to drive economic transformation at parish level.

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"The Parish Development Model is no longer a theory. It is a reality. It is in your parishes. It is in your households. PDM is growing bigger, stronger and more impactful," he said.

According to government data, every parish in the country has now received at least Shs 300 million since the programme's rollout. Officials further indicate that 99% of all previously released funds have already been disbursed to beneficiaries, reaching an estimated 3.27 million Ugandans.

The new tranche is expected to spark another lending cycle across rural communities, targeting enterprises in agriculture production, small-scale trade, and value addition.

The minister says strengthened monitoring and improved digital tracking systems are being used to ensure that SACCOs lend appropriately and that households invest in productive ventures.

Kasaija urged parish leaders and SACCO committees to "guard the funds jealously" and ensure they reach intended beneficiaries in time, noting that the model's success depends on disciplined financial management and visible improvements in household incomes.

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