By Arnold Ageta
Organized and registered groups in West Mugirango have received over KES 1.9 million in seed capital from the Uwezo Fund.
West Mugirango Member of Parliament (MP) Stephen Mogaka, who presided over the issuance of the cheques, commended five groups for consistently borrowing and timely repaying their Uwezo Fund loans.
He noted that their credit limits will continue to grow as they maintain their good repayment track record.
“I am happy that we have 18 new groups that applied and are receiving their cheques today as they embark on starting or boosting their business activities,” MP Mogaka said.
The lawmaker encouraged the groups to strictly use the money as seed capital and avoid diverting it to non-income-generating expenses.
“This money is not meant for school fees. This money is to help you start a business that will generate profits, which you can then use to pay school fees,” Mogaka emphasized.
The 23 groups drawn from across the constituency received their cheques at Kebirigo Boys High School during an event also attended by Uwezo Fund Manager Beatrice Mogendi.
Ms. Mogendi urged the beneficiaries to repay the loans promptly so they could qualify for higher amounts in subsequent applications, while also ensuring other groups benefit from the kitty.
She praised the five groups whose loan limits were increased, noting that they have been performing exceptionally well, and encouraged them to continue working hard to improve their livelihoods.
“We received several funding proposals from registered groups in Nyamira South Sub-County, but only 23 groups met the necessary threshold for funding,” Ms. Mogendi explained.
She added that because the Uwezo Fund operates as a revolving fund, timely repayment is critical to ensuring other registered groups get an opportunity to access the capital.
“Do not default on your repayment because it will taint your good name, and you will likely miss out on subsequent enhanced funding,” she warned.
Ms. Mogendi revealed that West Mugirango had previously been blacklisted from accessing the fund for a long time due to poor repayment rates, a sanction that was only lifted after the intervention of MP Stephen Mogaka.
Echoing her sentiments, the MP claimed his predecessors had ruined the constituency’s financial reputation, adding that he is currently in the process of restoring it.
“Today is a special day as I participate in issuing cheques to groups in West Mugirango to empower businessmen and women to realize their entrepreneurial dreams,” he told the gathering.
He regretted that when he assumed office, West Mugirango was blacklisted following a questionable disbursement of KES 20 million that was never repaid.
“This is the shock I was hit with when I was elected MP. I gave my word to the Fund management that under my administration, no money will go missing and repayments will be strictly enforced,” the MP recalled.
The constituency first unlocked Uwezo Fund loans under the current administration in 2024, when 13 groups received over KES 1 million to boost their business initiatives.
“I encourage more groups to register with the Uwezo Fund office and acquire these funds to improve their day-to-day lives,” the MP concluded.
