Nineteen youth and women self-help groups in Kangema Constituency got a shot in the arm after receiving Sh4.1 million of the interest-free government Uwezo fund.
Speaking during the disbursement exercise, the area Member of Parliament, Peter Kihungi, highlighted the fund’s positive impact in enhancing economic growth towards the realisation of the country’s sustainable development goals.
“This year, we have disbursed Sh4.1 million; last year we disbursed around Sh6.9 million, and I want to encourage our people in business and agriculture to take advantage of this fund through groups to economically uplift their lives,” he said.
He noted that the constituency had so far received over Sh30 million revolving fund for Uwezo, and its importance could not be overemphasised.
“The only setback we experienced in 2013-2014 was high default rates, as most borrowers had the notion that government funds are not to be repaid back, but those who have consistently repaid the amount back have had higher credit scores, and some groups are receiving up to Sh1 million,” he stated.
The MP pointed out that youth groups registered low uptake of the fund and urged the young people to form groups so that they can benefit from the fund as well.
Kihungi underscored the objectives of the fund, acting as a bridge to generating gainful self-employment for the youth and women.
“Women groups are doing exceptionally well in terms of borrowing, investing in income-generating activities, and paying back, thus improving their credit score,” he noted.
The Chairperson of the Uwezo Fund, Kangema Constituency, Nicholas Gakunga, observed that most of the groups benefiting from the fund were carrying out agricultural activities like dairy farming, chicken and goat rearing, and even crop husbandry, thus contributing to community-driven development initiatives.
He noted that of the 19 groups, the least amount issued to a group was Sh50,000, which is often the start-up for new beneficiaries.
The chair urged groups to remain committed to repaying the fund so that more people can benefit from it.
Gakunga added that the fund is particularly aimed at enabling women, the youth, and people living with disabilities to access capital to promote their businesses and enterprises interest-free.
“In the last financial year, this Constituency registered a higher payment rate and was among the best. I therefore encourage all our groups to ensure they repay the amount given to benefit others and to also improve their lives economically through the ventures they are engaged in,” he said.
“We hope to target more young people because the numbers are still low; we encourage them to register in groups and transform their lives using this interest-free fund,” he emphasized.
The chairperson of one of the groups that received Sh1 million, Faith Nyambura, observed that the fund had transformed their lives and even enabled them to educate their children.
Nyambura notes that they started rearing chickens in a group of 20 women but have now diversified and are now keeping dairy cows, whereby each member has a dairy cow and benefits by selling the milk to local dairies.
“This fund has helped us expand our income-generating activities, and we are now thriving in the livestock rearing business, having overcome the challenges often posed by limited access to capital,” she avers.
She also added that the majority of the women had managed to involve their husbands in the income-generating ventures and were living peacefully as the families no longer relied on a sole provider for daily sustenance.
By Florence Kinyua
