Women entrepreneurs who were unable to access loans under the Generating Growth Opportunities and Productivity for Women Enterprises (GROW) project are set to benefit from a new government grant scheme aimed at widening access to business financing.
The scheme targets women who missed out on the GROW loan component because of challenges including stringent banking requirements, limited access to credit and financial constraints.
Speaking during a regional orientation meeting for local government leaders, the Minister of State for Youth and Children Affairs, Dr Mercy Lakisa Faith, said the new grants were intended to ensure more eligible women benefit from the project.
"This grant targets women entrepreneurs that did not receive GROW loan. We must spread project benefits widely so that every eligible woman entrepreneur gets a fair chance to scale up," she said.
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The grants, implemented by the Ministry of Gender, Labour and Social Development with support from the World Bank, will provide non-repayable financing ranging from Shs3.5 million to Shs107 million to women-led micro and small enterprises.
Government plans to support at least 2,626 women-owned enterprises across the country, including 767 businesses in refugee-hosting districts.
Dr Lakisa said priority would be given to enterprises operating in science, technology, engineering and mathematics (STEM), green businesses, climate-resilient ventures, agribusiness processing, health technology and childcare services.
She urged Resident District Commissioners, district chairpersons, chief administrative officers and commercial officers to ensure accurate information reaches potential beneficiaries while guarding against corruption and misinformation.
The minister stressed that applying for the grants is free and warned women against paying brokers or officials in exchange for access to the programme.
Applications will be submitted digitally through the GROW Project website and mobile application.
Why Some Women Missed GROW Loans
Local government leaders at the orientation meeting cited several challenges that prevented women from benefiting from the earlier loan component.
Mr Gabriel Otira Olaboro, the Principal Assistant Chief Administrative Officer in Serere District, said limited public understanding of GROW and difficulties in meeting bank requirements affected participation, particularly among rural women.
"It was taken as a political programme and mostly politicians were using it to canvass for votes. So people misunderstood the government intentions," he said.
Otira also said some women who opened bank accounts for the programme were instead directed towards other loan products.
He urged local leaders to intensify sensitisation and skills training to help women prepare competitive applications for the new grants.
Kapelebyong District councillor Jennifer Ross Asio said many women who applied for GROW loans failed to qualify because they lacked collateral registered in their own names.
She said customary land, which is a common form of collateral in rural communities, is often registered under male family members, making it difficult for women to use it to secure financing.
Asio also alleged that some women spent between Shs56,000 and Shs110,000 obtaining documentation required by banks but still failed to secure loans.
She asked the government to recognise customary land allocation documents endorsed by local leaders and clan authorities as valid proof for women seeking financial support.
"I would love to urge the government, if they could consider that document to be valid, our women will be able to get the GROW grants," she said.
The new grants are expected to run for nine to 12 months, with all funded projects scheduled to be completed by June 2027.