Kampala, Uganda – The Minister of Gender, Labour, and Social Development, Betty Amongi, has hailed the GROW loan program as one of the most popular government initiatives, citing its transformative impact on women entrepreneurs.
The Minister’s remarks came during a recent event in Kampala, where she met with over 500 women borrowers from the Greater Kampala Region who had accessed GROW loans from Centenary Bank and Finance Trust Bank. The gathering celebrated the program’s success and assessed its impact on women’s economic empowerment.
Minister Amongi congratulated the women on acquiring the financing and cautioned them to repay their loans on time, ensuring the sustainability of the program for other aspiring women entrepreneurs. She was impressed by the success stories shared by the women, detailing how the GROW loans had fueled the growth of their businesses.
Amongi advised the women to explore additional services under the GROW initiative, set to be unveiled soon. The event was also attended by the State Minister for Labour, Industrial Relations, and Productivity, Hon. Esther Anyakun, the CEO of the Private Sector Foundation Uganda (PSFU), and representatives from the managing directors of Centenary Bank and Finance Trust Bank.
All participating women were given the opportunity to complete a needs assessment tool, which will guide future interventions from other components of the project.
The GROW Financing Facility, launched in February 2024, provides affordable loans to women entrepreneurs, with a competitive interest rate of 10% per annum and lending periods ranging from 6 months to 2 years. The program is designed to be inclusive, targeting women entrepreneurs who are refugees, persons with disabilities, and those from marginalized regions such as Karamoja and Busoga-Bukedi.
To date, 2,073 loans have been disbursed, with 98% of recipients being individual women entrepreneurs. The majority of these loans support trade and commerce (48%), agriculture (26%), and business services (15%). Notably, 41% of borrowers are new to formal banking, a testament to the program’s success in integrating women into the formal financial system.
The government has shown strong support for the initiative, approving a total of UGX 120 billion for distribution through Participating Financial Institutions (PFIs). As of December 31, 2024, UGX 50.1 billion had been disbursed. Centenary Bank and Finance Trust Bank each received UGX 12 billion, while other banks like DFCU and Stanbic Bank received UGX 7.9 billion and UGX 4.5 billion, respectively.
The program’s success stories are numerous, including Monica from Western Uganda, who secured UGX 200 million from DFCU Bank to invest in exotic dairy cows, enhancing her farm’s productivity and creating employment opportunities within her community.
Monica lauded the GROW project as a transformative initiative and praised the government for prioritizing women-focused programs.
While challenges remain, including the need for business formalization support and business management training, the GROW Financing Facility has made significant strides in empowering women entrepreneurs and driving economic growth in Uganda.
