The Forum for Democratic Change (FDC) presidential candidate, Mr Nathan Nandala Mafabi, has pledged to establish cooperative and agricultural banks to offer low-interest loans to Ugandans.
He said the move will end years of exploitation by moneylenders who charge exorbitant interest rates. Addressing his fist rally of the day in Kyadondo East, Wakiso District, Mr Nandala said several households and small businesses are trapped in poverty because they depend on private moneylenders who demand interest rates as high as 50 percent per month, a burden that keeps borrowers in a cycle of debt.
‘Imagine someone borrowing Shs100,000 and being asked to pay Shs50,000 interest in one month. How do you pay more than 50 percent interest in just 30 days? That is why people end up working for moneylenders, while they grow richer, you become poorer,’ Mr Nandala said.
He stated that his government would immediately capitalise a cooperative bank to support cooperatives across the country, and an agriculture bank dedicated to farmers and agribusiness.
Mr Nandala said both banks will offer low interest loans to enable people grow their enterprises without fear of losing property to money lenders.
He re-echoed his plan to revive cooperatives, drawing the example of Bugisu Cooperative Union, to find market and better prices for farmers’ products.
‘You used to have coffee here, but it died. There is money in coffee and cooperatives help farmers sell at better prices. We shall revive them so that you can again benefit from them,’ Mr Nandala said.
He also promised non-refundable seed capital to business people, noting that they can also pay taxes when their businesses grow.
Other promises
The FDC candidate also pledged to solve the issue of unemployment among the youth, noting that his government will increase funding in sectors like agriculture, industrialisation, and trade that create jobs.
‘They wake up every day walking the streets in search of jobs. We have a plan to ensure every Ugandan engages in an income-generating activity so that everyone has money in their pocket,’ Mr Nandala Mafabi said. He also promised to improve the road netowrk.
‘The current government has failed to construct proper roads. Money that should build 20 kilometres is instead used to build one kilometre. I pledge that we will construct and upgrade roads across the country. We shall rebuild Uganda so that you can live comfortably and proudly in your own country,’Mr Nandala stated.