Ntungamo, Uganda – Ntungamo District Commercial Officer, Mr. Ezra Aryanyijuka, has issued a strong warning to members of Savings and Credit Cooperative Organizations (SACCOs) against the dangerous practices of multiple borrowing and misusing loans for unproductive purposes.
Thank you for reading this post, don't forget to subscribe!The Commercial Officer delivered his stern warning during an engaging zonal mobilization meeting attended by over 200 members of Kajara People’s SACCO Limited on August 6, 2025, at their Kafunjo branch headquarters.
Aryanyijuka expressed concern over members who divert loans meant for income-generating activities into frivolous expenditures such as paying dowry, visiting in-laws, or spending on leisure activities like pork joints, bars, and gaming machines.
He stressed that joining a SACCO without clear loan utilization plans defeats its purpose, emphasizing that borrowers must have well-defined objectives before applying, similar to bank loan requirements.
Kajara People’s SACCO Chairperson, Maj. Gen. Jim Willis, reinforced the Commercial Officer’s concerns, warning that irresponsible borrowing and fund mismanagement have led to the downfall of numerous SACCOs in the past.
The Chairperson issued a firm warning that members’ financial discipline including prudent borrowing and prompt repayments directly determines the SACCO’s survival and ability to serve the community.
Kajara People’s SACCO General Manager, Mr. Akamukwasa Yusuf, reported improved loan repayment rates with fewer defaulters than in previous years while urging non-members to join, open accounts, and buy shares to bolster the institution’s financial foundation.
He underscored how member unity fuels SACCO growth, noting that disciplined savings however modest compound into meaningful financial gains over time.
Kajara People’s Savings and Credit Cooperative Organization (SACCO), marking a significant milestone with its 25th anniversary, has grown into a trusted financial hub, now serving a thriving membership base of over 800 individuals and small businesses across the region.
A testament to the SACCO’s impact came from Rev. Didas Niwamanya, who shared how he successfully invested a loan to purchase a plantation, demonstrating the transformative potential of responsible borrowing.
The SACCO’s Marketing Officer, Ms. Agirembabazi Asasira, outlined the various loan products available, including business loans, agricultural loans, school fees loans, salary loans, emergency loans, boda boda loans, water harvesting loans, and group and institutional loans, among others.
During the meeting, member Ms. Loyce Amagara called for greater transparency and engagement, urging the SACCO’s board committee to hold regular general meetings after delegate sessions to ensure broader participation and accountability.
The gathering reinforced the message that while SACCOs provide valuable financial support, their sustainability depends on members’ discipline in borrowing, saving, and investing wisely.
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