Implementation Arrangements

General

(i) The Women Enterprise Fund will be administered as an interest-free revolving fund. Beneficiaries will be given a grace period and loan term based on the maturity period of the enterprise (the time at which the enterprise begins generating income). The maximum loan term/period is 3 years (36 months). Those who wish to pay within the grace period will be encouraged to do so. Groups that will repay the revolving fund within the first 12 months of receiving the fund will pay only the Principal without interest. Any repayments that go beyond 12 months shall attract a service fee of 5% per annum to cater for the costs of inflation. Groups may apply for another loan after clearance of all outstanding payments.

(ii) The Programme will be integrated within the existing structures of Government and will follow the established procedures that guide programme implementation. At Central Government, the Permanent Secretary MGLSD will be the overall Accounting Officer, while the Chief Administrative Officers and Town Clerks will be the Accounting officers for the Programme at the Districts and Municipality levels respectively. In the case of KCCA, the Executive Director will be the Accounting Officer.

(iii) The Ministry of Gender, Labour and Social Development will sign MOUs with implementing Districts/ Municipalities and KCCA. The MOUs will stipulate the roles, responsibilities and obligations of the parties involved. The Districts, Municipalities and KCCA will in turn sign Financing Agreements with each women’s group approved for funding under the Programme.

(iv) The funds will be accessed by women groups who fall within the targeted age bracket and as much as possible take care of categories of women indicated in section 2.7. Group membership will range from a minimum of 10 to a maximum of 15 members, which is adequate to co-guarantee and ensure effective self-management as well as realization of impact.

(v) The beneficiary women’s group will undertake to implement their enterprises themselves. The women’s group will constitute three (3) committees to handle the day-to-day running of their group enterprise. The members will elect from among themselves to these committees which are the Enterprise Management Committee (EMC), the Procurement Committee (PC) and the Social and Accountability Committee (SAC). All the group members are expected to belong to one of these three committees and are entitled to equal benefits under the Programme.

(vi) The Women Enterprise Management Committee (WEMC) will have a delegated authority to manage the enterprise on daily basis on behalf of the group. Appropriate training for all the group members will be undertaken to enhance their capacity to implement the enterprise efficiently and effectively. The training will focus on areas of general enterprise management including group dynamics, effective communication and leadership, planning, records management, financial management, community procurement procedures and reporting, accountability, business development and life skills.

(vii) The names, particulars and group photograph of the selected women group members will be submitted to the Sub-County Chief as part of the Enterprise Proposal for desk and field appraisal by the Sub-County Technical Planning Committee (STPC). For purposes of continuous involvement of the women and ensuring their representation in Programme processes, the Sub-County Women Council Chairperson will be co-opted onto the STPC during the appraisal of the Enterprise Proposals. The Sub-County TPC will forward the Proposals for the selected women groups including the relevant documentation to the District/Town Council/ Municipality Technical Planning Committee for approval.

(viii) The District, KCCA and Sub-county staff will provide the necessary technical guidance and support to the Enterprise Management Committees in the course of implementation of the enterprises.

(ix) Prior to the funds disbursement, each women’s group will sign a Financing Agreement with the District Local Government or KCCA. The District Local Government shall be represented by the CAO, KCCA shall be represented by the Executive Director and the Women’s group shall be represented by the Chairperson of the WEMC.

The Revolving Fund

Arrangements must be made to ensure that some activities such as savings, repayment of the revolving fund etc., are maintained at the group level.

Fiduciary Issues

The financial management will be in accordance with the Government of Uganda Financial & Accounting Regulations.

Risks and Mitigation

Risks include: inadequate funding, delays and default on revolving fund repayment as well as disintegration of the beneficiary groups.

Institutional Support

Beneficiaries will receive basic training in enterprise planning & implementation, entrepreneurship & business skills and business counseling.