A boda boda stage in Makindye, Kampala
HABARI DAILY I Kampala, Uganda I Low interest rate loans to help the vendors and boda boda riders improve their livelihoods by stabilizing their incomes have been launched.
The two types of affordable loans, to be availed through the Microfinance Support Centre, will be availed through a scheme dubbed the Katale loan initiative.
Moses Byaruhanga, the Senior Presidential Advisor on Political Mobilization unveiled the scheme on behalf of President Yoweri Museveni, on Friday May 2, 2025. The colourful event was held at Kalerwe market in Kawempe Division.
“Each vendors and boda boda rider will be able to access these loans at only 8 percent interest per year. We calculated that if you get a loan of Shs1m, the interest will be Shs80,000 per year. This will come with no collateral and there will be no money for registration,” he noted.
Byaruhanga added that boda boda riders will also be able to access “boda boda loans” whereby they will be required to pay Shs7.2m for a boda boda of Shs6m, after full payment of the loan.
“We don’t need any deposit, GPS for tracking will be installed on the motorcycle and it will also be insured.”
Byaruhanga also cautioned the Kampala Capital City Authority (KCCA) enforcement team against confiscating the merchandise of vendors.
“Take a video if anyone tries to confiscate your property and present it to the authorities,” he advised.
He further revealed that he was going to engage the KCCA Executive Director, Hajjat Sharifah Buzeki on the issue.
On the issue of property tax, Byaruhanga stated that if a house is occupied by the owners not for rent or business, they should not pay such tax.
He also supported luggage carriers in the market with Shs5m as well as Kalerwe Women Vendors SACCO with Shs 5m to help boost their businesses.
He also pledged to support the SACCO of Kawempe boxing club with capital and gym equipment.
Justine Namata, the chairperson, Kalerwe Women Vendors Association said the new scheme will help women take care of their homes.
