Residents of Kanara Landing Site in Ntoroko District are experiencing a significant economic transformation following support from the Local Economic Growth Support (LEGS) Project, implemented by the Microfinance Support Centre in partnership with the Islamic Development Bank and the Ministry of Local Government.
The project has provided seed capital in the form of boats, fishing nets, and boat engines to community groups organized under Savings and Credit Cooperative Organizations (SACCOs). This support has enabled many residents to transition from subsistence activities to profitable enterprises along the shores of Lake Albert.
One of the beneficiary groups is Kanara Tuendelee Village Savings and Loans Association (VSLA) located in Ntoroko East A Cell, Kanyansi Ward, Kanara Town Council.
The group, which started in 2018 with 48 registered members, previously struggled with limited capital and low savings.
However, their fortunes changed in June 2025 when they received support under the LEGS Project in the form of a cargo boat.
Speaking to journalists, the chairperson of the group, Matia Kisembo, said the support enabled them to acquire a large community cargo boat that has significantly increased their income.
“We received Shs 72 million from the Microfinance Support Centre, but the money did not come in cash. They asked us what project we wanted to invest in. We proposed buying a cargo boat and MSC paid the boat builders directly,” Kisembo explained.
He added that the group contributed Shs 20 million from their savings to acquire a larger and more modern boat with a powerful engine and fishing equipment, bringing the total investment to Shs 102 million.
“MSC gave us Shs 72 million and we added Shs 20 million from our savings to get a bigger and modernized boat which we have today,” he said.
Kisembo further revealed that 40 percent of the funding (Shs 28.8 million) was a government grant, while 60 percent (about Shs 44 million) was a loan offered at a low interest rate of 8 percent per year.
“We are grateful because part of this money was given as a grant and the loan we are paying has a very low interest rate. This has enabled us to grow,” he said.
Before receiving the project support, the group relied on small income-generating activities such as renting tents, plastic chairs, and small boat engines. However, the cargo boat has greatly expanded their business operations.
The 60-tonne capacity cargo boat, which began operations on June 10, 2025, transports goods between Uganda and the Democratic Republic of the Congo. It operates along the route from Ntoroko Customs and Bugoma through Mulango and Kamuga to Kasenyi and Tchomia in D.R. Congo.
The vessel carries agricultural produce, fish, and merchandise for cross-border trade.
According to group members, the boat generates about Shs 6 million per trip, from which Shs 4.97 million is used to repay the loan, while the remaining balance is distributed as loans to members at affordable interest rates.
The vice chairperson of the group, Sifa Kawambe, said the project has also created employment opportunities, especially for women.
Kawambe shared her personal story of transformation.
“I used to work as a housemaid earning only Shs 70,000 a month. I started saving little by little when I joined this group. When the LEGS Project came, it found us already organized,” she said.
She added that the cargo boat has helped members access bigger loans and improve their livelihoods.
“This boat has made us bigger entrepreneurs. It has changed our lives and the lives of many people in the community,” Kawambe said.
Another beneficiary, Ayubu Magezi from Businge VSLA Group under Kanara People’s SACCO, said their group received fishing nets, a small boat, and boat engines.
Magezi said the equipment has created employment opportunities for many young people involved in fishing.
“The support we received improved our fishing activities. We now use proper fishing methods and no longer have problems with authorities who monitor illegal fishing practices,” he said.
He also called for more funding to support additional youth groups.
“I encourage more young people to join SACCOs because they are the pathway to economic development,” Magezi added.
Meanwhile, Williams Okweda, Regional Manager for Western Uganda at the Microfinance Support Centre, explained that the LEGS Project is aimed at improving livelihoods through affordable financial services.
“This project is being implemented in 17 districts across the country. We partnered with organized community groups that were already mobilizing savings and lending among themselves. With funding ranging from Shs 10 million to Shs 30 million, these groups have been able to expand their businesses and increase savings,” he said.
Okweda noted that the project has already improved household incomes and living standards in the area.
“Community livelihoods have changed. People are able to take their children to school, access better medical services, and improve feeding in their homes,” he said.
He added that despite concerns about loan repayment in government programmes, the repayment rate among beneficiary groups currently stands at over 80 percent, which he described as encouraging.
Under the project’s first phase, more than $10 million was allocated, with Shs 8.12 billion invested in communities within the Kabarole Zone, supporting 134 projects and benefiting over 25,000 individuals.
Okweda revealed that Phase Two of the project is expected to roll out soon following the evaluation of the pilot phase.
“We are coming in with Phase Two, which will enable us to extend this support to many more districts across the country for the betterment of communities,” he said.
The LEGS Project aims to reduce poverty, enhance food security, manage climate change, and promote sustainable development. The initiative targets to benefit millions of Ugandans, particularly women, youth, and people with disabilities.
