BDF extends financial access to the disabled through SACCOs

Persons with disabilities in need of loans for income-generating projects will soon get the facility through Umirenge Saccos across the country. This will be under the National Employment Programme (Kora Wigire). The initiative is being implemented by the Business Development Fund (BDF) in partnership with the National Council of Persons with Disabilities (NCPD). BDF has mandate to choose eligible projects of PWDs presented to them through Saccos. BDF has been supporting projects for youth and women who don’t have collateral to present to financial institutions for loans, giving them 75 per cent guarantee. According to BDF, on top of persons with disabilities getting 75 per cent guarantee as other groups, they will also enjoy additional 50 per cent grant out of the loan received. Speaking to The New Times, Albert Mugisha, a relationship officer at BDF, said they signed a memorandum of understanding with all Saccos from across the country five months ago and some have started submitting projects for examination. “We have so far received only four applications with 150 projects of PWDs. Considering that we have more than 400 Umurenge Saccos across the country we think this is a small number of applicants and we call upon others to submit their requests as well,” Mugisha said. He said the investment committee of BDF was due to sit to examine the projects submitted and those eligible will be catered for in two weeks. He said an individual person with a disability receives a maximum of Rwf500,000 (half grant and half loan) while a cooperative of PWDs is given Rwf2 million (half grant, half loan) maximum. At least Rwf200 million was earmarked to the ‘disability fund’ this year to support pilot projects. It will be increased in the following years, according to NCPD. Emmanuel Ndayisaba, the executive secretary of NCPD, said the new development was in response to complaints from PWDs that they were being excluded from securing loans from financial institutions due to their vulnerability and lack of collateral. He expressed hope that the loans will help tackle unemployment by encourage entrepreneurial spirit among persons with disabilities. “We have a big number of PWDs who did not get a chance to go to school and under NEP Kora Wigire, we started supporting them by providing TVET skills. Later, more than 600 PWDs who were trained got equipment to start projects; but during our visits we realised that there was critical ownership issue of the equipment provided,” he said. “Now, with this new initiative that gives half grant and half loan, we expect more accountability and ownership of the support provided.” More than 780 groups were equipped with financial management skills, how to develop bankable proposal, among others, through NEP. Ndayisaba urged PWDs to embrace the new scheme, saying it offers them opportunity to thrive. PWDs with severe disabilities who are not able to work will continue to get full support, he said. editorial@newtimes.co.rw

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BDF extends financial access to the disabled through SACCOs