Members of Owino Space Zone Emyooga Sacco are experiencing improved cash flow thanks to character-based loans provided by the Sacco.
While this development is promising, Sacco leaders emphasize the need for additional grants from the Microfinance Support Centre to meet the increasing demand for these loans.
St. Balikuddembe Market, widely known as Owino, has been a hub of economic activity for decades, supporting millions of Ugandans in their pursuit of financial independence. Among them is 32-year-old Sarah Nalubwama, a mother of three, who has relied on the market for sustenance over the past five years.
Facing significant cash flow issues, Nalubwama turned to Owino Space Zone Emyooga Sacco for assistance. “I joined the Sacco four years ago, and it has been transformative for my business,” she says.
Thanks to the four loans she has received from the Sacco, Nalubwama’s life has improved significantly. Her increased capital has led to higher sales. “I used to sell only half a bag of carrots per day, but now I sell over four bags. I even bought a new fridge to generate additional income,” she shares.
Nalubwama is not alone in her success; over 269 members of the Sacco report similar positive experiences. However, some, like David Masembe, face limitations due to the Sacco’s current loan capacity. “Sometimes, I need more money to recapitalize my business, but the Sacco can’t always provide it,” he explains.
Despite the progress, there is a call for more financial support. Over the past four years, members’ savings have grown to Shs134 million, but the Sacco still struggles to meet the demand for loans.
Umaru Buyinza, the Sacco’s secretary, highlights this issue: “Many members seek assistance, but we often lack the funds to support them. We request that the Microfinance Support Centre provide us with an additional grant to help more members grow.”
