Residents of island-based Buvuma District have breathed a sigh of relief after the government officially re-launched the Microfinance Support to Women, Youth and Other Special Interest Groups (MYOOGA) programme, four years after it was suspended due to widespread mismanagement of funds.
The MYOOGA programme in Buvuma was halted in 2022 following revelations that millions of shillings meant to boost household incomes had been misused by some beneficiaries, while others reportedly disappeared with the money altogether. The suspension was ordered by the Minister of Microfinance, Hon. Haruna Kasolo, after an assessment revealed that the programme was performing poorly in the district.
Under MYOOGA, 16 Savings and Credit Cooperative Organisations (SACCOs) were formed in Buvuma, each receiving Shs30 million as initial seed capital. In addition, one leader’s SACCO received Shs50 million, bringing the total government disbursement to about Shs500 million. However, investigations later revealed that much of the money had allegedly been taken by a few leaders within the SACCOs, leaving ordinary members without access to the funds. To date, some of the individuals implicated are reportedly still in hiding.
As a result, the government froze all MYOOGA accounts in Buvuma, bringing the programme to a complete standstill and denying residents access to financial support that was benefiting communities in other parts of the country.
However, the programme has now been revived following significant recovery efforts and reforms spearheaded by the government through the Microfinance Support Centre (MSC). During a meeting held at the Resident District Commissioner’s (RDC) office in Buvuma, beneficiaries expressed excitement after receiving a cheque worth Shs320 million to restart operations of their SACCOs.
Speaking at the event, Mr William Kirunda, an official from the headquarters of the Microfinance Support Centre, said the suspension followed a nationwide monitoring tour by the minister, which exposed poor performance of MYOOGA in Buvuma.
“In 2022, the Honourable Minister directed that all MYOOGA operations in Buvuma be frozen to allow recovery of misused funds,” Kirunda said. “I want to thank the people of Buvuma because many responded positively, and a considerable amount of money has been recovered and is now lying on SACCO accounts.”
Kirunda noted that all 16 MYOOGA SACCOs in the district now have valid operating licences, registration certificates, and access to their bank accounts. He added that MSC has supported the groups through audits, training, provision of agents, and renewal of certificates, enabling them to qualify for additional seed capital.
He cautioned SACCO leaders against repeating past mistakes, stressing that the funds must benefit all members rather than a few office bearers.
“We appeal to beneficiaries to utilise this money properly. Members should save, borrow responsibly, and repay so that everyone benefits. Our services in capacity building remain available, and we encourage continuous engagement,” Kirunda said.
According to him, each SACCO has so far recovered between Shs15 million and Shs25 million, a development he described as a strong sign of renewed commitment to accountability and transparency.
The Greater Mukono MYOOGA Coordinator, Ms Jenifer Nyakato, warned beneficiaries against misusing the funds, noting that proper utilisation would attract even more government support.
“We are here to relaunch MYOOGA because many people previously misused the money,” Nyakato said. “This time, most of the 16 SACCOs have received Shs20 million as additional seed capital to start afresh.”
She dismissed claims that the relaunch was politically motivated, explaining that the process took time due to the need to address challenges step by step.
“MYOOGA is for people who are already doing something—entrepreneurs, boda boda riders, and small business owners. If you perform well, the government is ready to add more money,” she said, adding that nearly half of the misused funds had already been recovered.
Buvuma Chief Administrative Officer, Mr Isa Mbooge, applauded the government for reintroducing the programme, saying it aligns with the National Development Plan’s goal of transforming Ugandans from poverty to middle-income status.
“Through interventions like MYOOGA and the Parish Development Model (PDM), we are increasing household incomes,” Mbooge said. “Under PDM alone, we have disbursed over Shs11 billion to 38 parish circles.”
He acknowledged challenges unique to the island district, including a lack of electricity and limited access to media, which previously affected participation by some groups, such as journalists and welders. However, he said these gaps have now been addressed, with all groups fully constituted and ready to benefit.
“This money is not for personal spending. It must be invested in income-generating activities so that it grows and benefits more people,” he emphasised.
The Deputy RDC of Buvuma, Dawuda Kato, urged beneficiaries to borrow responsibly, use the funds transparently, and repay on time.
He issued a stern warning to those intending to default, saying recovery would be enforced through village-level mechanisms and by publicly displaying the names of defaulters in public places.
“We want this money to rotate and benefit everyone. Whoever refuses to pay will be forced to do so,” Kato warned.
With the re-launch of MYOOGA, residents of Buvuma District are hopeful that the hard lessons of the past will translate into improved management, better livelihoods, and sustainable economic growth across the island communities.
