Janet Museveni suggests Grameen Bank Model for Ugandan women entrepreneurs

In a speech at a belated International Women's Day celebration in Ntungamo district which was delivered on her behalf by Alice Kaboyo, the State Minister for Luwero-Rwenzori, Ms. Museveni acknowledged the progress made by the government but stressed the need for a collective approach.

"We must begin by acknowledging that women's economic empowerment is not a women's issue, but an issue of national concern to all Ugandans," Ms. Museveni said. "Each woman's economic success eventually benefits society by lowering poverty rates at both the family and national levels."

The Minister outlined several strategies to empower women economically. These included mentorship programs where experienced entrepreneurs can guide and support aspiring women in business.

Minister Alice Kaboyo who represented the First Lady at the event pulse uganda

Grameen Bank model

Ms. Museveni also highlighted the Grameen Bank Model as a potential tool for propelling women's economic participation. The Grameen Bank, founded in Bangladesh, is a world-renowned microfinance institution that provides small loans, typically without collateral, to impoverished populations, particularly women, in rural areas.

"I have always shared the example of the spirit of entrepreneurship, unity and togetherness, which I experienced when I interacted with women in Bangladesh, who were leveraging the successful Grameen Bank Model to improve their livelihoods," Ms. Museveni said.

The Minister urged the Ntungamo District leadership to explore the possibility of adapting the Grameen Bank model within the existing Parish Development Model (PDM), a Ugandan government initiative focused on improving livelihoods at the parish level.

"I urge you to take advantage of the opportunity provided by the Parish Development Model, to improve livelihoods, by encouraging efficient use of the funds and recognising the effectiveness of women working in groups," Ms. Museveni added.

The speech comes amidst ongoing discussions about financial inclusion for Ugandans, particularly those in rural areas. Proponents of microfinance argue that small, accessible loans can empower individuals to start or grow businesses, thereby lifting themselves and their families out of poverty.

The Grameen Bank model specifically targets women, recognizing the unique challenges they face in accessing traditional financial services. By relying on group-based lending and peer pressure to ensure repayment, the bank bypasses the need for collateral, a significant barrier for many women entrepreneurs.

Whether Uganda will adopt a model similar to the Grameen Bank remains to be seen. However, Ms. Museveni's speech suggests a growing recognition of the need to empower women economically and the potential role of microfinance in achieving this goal.