The Microfinance Support Centre (MSC) intends to extend lower-cost loans to Emyooga SACCOs operating in Karamoja, Uganda Radionetwork reported on Monday. According to the outlet, the move is aimed at keeping the savings and credit groups sustainable.
Uganda Radionetwork did not provide further details on the lending terms, the number of groups that would benefit, or when the cheaper credit would become available.
The report frames the plan as a sustainability measure for the Emyooga SACCOs in the Karamoja region. Under the Emyooga programme, government-supported SACCOs are set up at constituency level to give small-scale entrepreneurs access to affordable credit. The MSC, a government agency, is the institution named in the reporting as planning the reduced-cost loans.
The reporting offers no figures on current interest rates or on how large a reduction is being considered, and it does not say whether the plan covers all Emyooga SACCOs in Karamoja or only some of them.
What to watch next: whether the MSC publishes the terms of the cheaper loans, including rates and eligibility, and whether other regions are included in the plan.
