Officials managing Uganda’s $217 million Growth Opportunities and Productivity for Women Enterprises (GROW) programme say they will revise access requirements after a low number of women entrepreneurs applied for loans in the first phase of the initiative.
The project, funded by the World Bank, aims to support women-led enterprises through affordable credit, training, and business development services, but has so far struggled to reach those operating informally.
Aisha Ruth Biyinzika Kasolo, the national coordinator of the GROW project, revealed that just 10% of loans issued during the first phase went to businesses that were formally registered.
“That statistic is a wake-up call,” she said.
“We cannot leave thousands of women behind simply because they operate informally — the system must adapt to their realities.”
Ms Kasolo said the team is now actively working to remove barriers by revising eligibility criteria.
In particular, the project is exploring group-based lending through SACCOs and considering alternative forms of collateral beyond land titles, which many women do not possess.
“Women shouldn’t be disqualified simply because they don’t have a land title,” she noted.
The situation was particularly concerning in the Madi sub-region — covering Moyo, Adjumani, and Obongi — where only one loan application was received.
“It showed us there are structural barriers we need to dismantle if this program is to reach all corners of Uganda,” Ms Kasolo said.
The GROW project, which runs until 2027, aims to reach at least 28,750 women entrepreneurs.
While the loan amounts range from Shs4 million to Shs 200 million with a 10% annual interest cap, the majority of the budget — nearly 70% — is allocated to training, mentorship, and support systems.
“There’s a misconception that every woman should walk into a bank and get a loan from the GROW project. That’s not the case,” said Aggrey Kibenge, permanent secretary at the Ministry of Gender, Labour and Social Development.
“We’re not just handing out money — we’re building resilience, strengthening financial literacy, and laying the foundation for sustainable women-led enterprises.”
Centenary Bank and Finance Trust Bank have led disbursement efforts, while Equity Bank and DFCU Bank have extended credit to 111 and 209 women entrepreneurs respectively.
However, project officials acknowledge that unless conditions are tailored to the realities of Uganda’s largely informal economy, the programme risks excluding the very women it seeks to empower.
“This project isn’t about numbers alone,” said Ms Kasolo.
“It’s about changing lives. And if that means rethinking our approach to make sure no woman is left behind, then that’s exactly what we will do.”
With a second funding tranche on the horizon, the GROW team hopes that loosening requirements will open up opportunities for women who have historically been locked out of formal financial systems.