The Resident City Commissioner for Masaka City, Ahamada Washaki, has directed Parish Development Model (PDM) committees to begin the immediate recovery of loan funds from beneficiaries who have held the money for three years without repayment.
Speaking during a performance review meeting at the Kijjabwemi Rehabilitation Centre, Washaki expressed concern over the slow pace of loan recovery, warning that the sustainability of the government programme is at risk.
He tasked Parish Chiefs and SACCO chairpersons across the city’s 25 parishes to work jointly and ensure that the funds are recovered and redistributed to other eligible community members.
Washaki pointed to serious gaps in the management of the 25 SACCOs, accusing some leaders of acting in self-interest and frustrating the timely disbursement and recovery of funds.
He revealed that more than Shs 7 billion has so far been disbursed under the PDM in Masaka City, including an initial release of Shs 2.5 billion. However, the recovery rate remains critically low.
According to the Masaka City PDM Coordinator, Shirah Akello, only Shs 58 million has been recovered to date, raising concerns about accountability and the long-term viability of the revolving fund.
“Beneficiaries who received funds in the first phase and have now reached the three-year repayment period must refund the money immediately,” Washaki said. “We cannot allow this programme to collapse due to negligence and misuse of funds.”
He warned that individuals found misappropriating the money or diverting it from approved projects would be pursued and held accountable. The RCC also vowed to take disciplinary action, including arrests and dismissals, against officials who undermine the programme.
Meanwhile, SACCO leaders, led by Yasin Kabuye, highlighted several challenges affecting implementation.
They accused some influential political figures, particularly from the ruling National Resistance Movement, of interfering in the selection process by pressuring SACCO committees to favour certain beneficiaries.
The leaders said such interference has compromised transparency and affected the credibility of the programme.
The Parish Development Model is a government initiative aimed at improving household incomes by extending financial support to communities at the parish level. However, in Masaka City, its success is increasingly being threatened by poor recovery rates and alleged political interference.
