HABARI DAILY I Kampala, Uganda I Ugandan youth with innovative business ideas are set to benefit from non-refundable seed capital under a new initiative launched by Muhoozi Kainerugaba, the Chief of Defence Forces.
The initiative, known as the MK Fund, will provide grants of up to Shs1 million to young entrepreneurs seeking to start or expand businesses, particularly in commercial agriculture, local manufacturing and information and communication technology (ICT).
Speaking during the inaugural meeting of the fund’s Board of Trustees in Fort Portal, Gen Muhoozi said the programme was designed to unlock the entrepreneurial potential of young Ugandans by removing one of the biggest barriers to business start-ups—access to capital.
Unlike many government funding schemes that require repayment, the MK Fund will provide grants that beneficiaries will not be required to pay back.
“The only pay back will be the success of the recipient,” Gen Muhoozi said.
According to the Chief of Defence Forces, the initiative will primarily target vulnerable groups, especially unemployed youth in urban areas who often struggle to access affordable financing to transform their ideas into businesses.
Gen Muhoozi explained that the MK Fund is intended to complement existing government poverty-reduction programmes such as the Parish Development Model by focusing on segments of society that remain underserved.
“The board will provide direction and oversight to ensure the fund achieves its intended objectives,” he said.
The Board of Trustees, which he chairs, includes key public figures such as Health Minister Jane Ruth Aceng, Agriculture Minister Frank Tumwebaze, veteran journalist Andrew Mwenda and Edwin Karugire, who serves as secretary.
Review committee to vet applicants
Gen Muhoozi said the board will establish a review committee responsible for examining and evaluating applications from young innovators seeking support.
“The board will set up a review committee to examine and evaluate applications from individuals seeking support from the fund,” he said.
To make the programme accessible and transparent, the MK Fund will introduce an online platform through which applicants can submit their proposals.
The website will outline eligibility requirements, provide application guidelines and enable the selection committee to process submissions more efficiently.
The fund will initially start with Shs1 billion, but the trustees intend to mobilise additional resources to expand its reach.
Gen Muhoozi said efforts would be made to ensure that the fund benefits young entrepreneurs from across the country rather than concentrating resources in a few areas.
The programme will also promote gender inclusivity, with at least 30 percent of the grants reserved for female applicants.
A small secretariat will be created to manage the day-to-day operations of the fund, including receiving applications, evaluating business ideas and monitoring enterprises launched through the programme.
According to Gen Muhoozi, the broader goal of the MK Fund is to empower youth to turn innovative ideas into viable businesses that can create employment and improve livelihoods.
Dr Achieng hails MK
On her X account (formerly Twitter), Dr Jane Ruth Achieng, on of the bord members posted: “Board of trustees of the MK Fund attending the inaugural meeting, this morning. Congratulations Gen. @mkainerugaba for this excellent vision of empowering the youth with seed capital to enable them start income generating activities. To the youth, Gen MK is for you.”
By providing seed capital that does not have to be repaid, he said, the initiative aims to give young Ugandans the confidence and financial boost needed to start ventures that can contribute to economic growth and self-reliance.
