Uganda: State House Warns SACCO Beneficiaries Against Fund Misuse

State House Comptroller Jane Barekye has warned beneficiaries of the Presidential Industrial Skilling Hubs against misusing government start-up loans, saying President Yoweri Museveni will only increase funding to graduates' SACCOs if existing revolving funds are properly managed. Barekye said the Shs50 million provided to each district SACCO was a pilot intervention intended to help graduates turn skills acquired from the hubs into sustainable businesses. "The President is going to add more money to these SACCOs. What we need from you is financial discipline. First invest the money in the rightful projects. After your businesses grow and start making profits, you can then use the proceeds for things like bride price, but not these loans. Please don't play with the President's money," Barekye said. She made the remarks on Tuesday, August 18, 2026, during a stakeholders' engagement at the Tooro Zonal Presidential Industrial Skilling Hub in Kyenjojo District. Follow us on WhatsApp | LinkedIn for the latest headlines The meeting brought together State House officials, political and technical leaders, SACCO executives and beneficiaries to review the performance of the skilling programme and its revolving fund. The Tooro hub serves Kyenjojo, Kyegegwa, Kamwenge, Fort Portal City, Bunyangabu, Kitagwenda and Kabarole. Barekye said State House was working with local leaders to assess the programme, identify challenges and ensure the funds achieve their intended purpose. She urged leaders to closely monitor district SACCOs to ensure money reaches intended beneficiaries and is invested in the enterprises for which it was borrowed. A finance manager, Ronald Aroho, has also been deployed to strengthen supervision of SACCO operations and track utilisation of the revolving funds. Aroho pledged to work with SACCO leaders, district commercial officers and other stakeholders to improve accountability. Barekye directed him to work with district commercial officers rather than establish a parallel supervision system. She also encouraged district leaders to make unannounced visits to the hubs. "This is your project; don't let it die. The President has invested a lot in it," she said. Barekye further challenged local governments to support graduates by awarding them contracts to supply products they are trained to make, including school desks and beds. Where contracts are too large for individual graduates, she urged contractors to employ youth trained at the hubs. She also encouraged communities to use the four-acre model farm at the hub to gain practical knowledge in commercial agriculture, including fish farming. SACCO leaders, however, raised challenges affecting access to the funds. Mulungi Kenneth, chairperson of the Kabarole District Hub SACCO, said 36 graduates had accessed the revolving fund, but some beneficiaries lacked National Identification Cards, limiting their ability to receive loans. Kamwenge District Hub SACCO chairperson Akampulira Everest said 13 beneficiaries had received loans and invested them in their intended projects. He said registration requirements, including access to Wendi services, remained difficult for some youth without National IDs. SACCO leaders asked State House to review the requirements and allow graduates whose identities and training status can be verified to access the funds. Beneficiaries also shared how the programme had changed their lives. Janet Kabasiita, a tailoring graduate from Kitagwenda, said she had struggled to find employment because she lacked formal academic qualifications. She received a Shs560,000 SACCO loan after completing training and started earning from tailoring. She asked for larger loans, saying the amount was insufficient to purchase a sewing machine, rent premises and buy enough materials. Jordan Abenitwe, a carpentry graduate from Kitagwenda, received Shs1.35 million and established a workshop. He produces beds at about Shs180,000 each and sells them for between Shs250,000 and