In a move set to bring significant relief to beneficiaries of the Parish Development Model (PDM), the government has pledged to cover all bank charges for loans disbursed under the program.
This decision comes in response to President Museveni’s directive that beneficiaries should receive the full loan amount of Shs 1 million allocated as the minimum under the initiative.
The announcement was made by State Minister of Finance, Henry Musasizi, during a PDM sensitisation event in Hamuhambo Town Council, Rubanda District.
Musasizi said some banks had been deducting as much as Shs30,000 from beneficiaries’ loan amounts, an issue flagged during President Museveni’s recent nationwide tours.
“This move ensures that PDM beneficiaries receive the full funding intended to support their economic development initiatives,” Minister Musasizi stated, adding that it would enhance the program’s impact on transforming livelihoods through sustainable economic development.
President Museveni has been actively engaging with stakeholders, including beneficiaries, local leaders, and financial institutions, to ensure the PDM program’s success.
By directing the government to absorb bank charges, the President aims to remove financial barriers and maximise the programme’s effectiveness.
The Parish Development Model, a flagship government initiative, is designed to empower communities by providing affordable financial support for income-generating projects.
Covering bank charges ensures that beneficiaries can fully utilise the allocated funds to implement their economic activities without concerns over deductions.
Minister Musasizi emphasised that this development reflects the government’s commitment to promoting economic growth and improving the livelihoods of all Ugandans.
Beneficiaries are encouraged to focus on effectively utilizing the funds for their projects, as this initiative is expected to bolster the overall success of the PDM program and contribute to Uganda’s broader economic transformation.
