The Rural Microfinance Support project (RMSP) was implemented for a period of 7 years running from 2001 to 2008 funded by African Development Bank and the Government of Uganda. RMSP had two components: credit and savings mobilization, and capacity building.
CREDIT AND SAVINGS MOBILISATION
Under this component productive and income generating activities were financed, through viable Partner Organisations (POs) mainly Microfinance Institutions (MFIs) and SACCOs. The POs channelled the money to micro-entrepreneurs organized in Solidarity Groups (SGs) to invest in ventures like small scale farming, apiary, grain milling, trade and small scale manufacturing.
Through RMSP loans amounting to sh21, 589,259,000 was extended to more than 200 POs. And in turn the POs lent money to a total of over 70,000 clients; of whom 60% were women. Each individual was given approximately sh400, 000.
RMSP also facilitated mobilisation of savings amounting to approximately 15% of the loan portfolio. This was due to increased membership of the SACCOs. The project beneficiaries made investments in various micro enterprises which created significant employment opportunities to more than 200,000 people.
The second component was designed to support capacity building and training activities. After training, follow-up and on-site technical assistance was provided to ensure the skills acquired were applied and had positive impact. It was also aimed at raising awareness of clients on how to access loans and enhance clients' skills for managing and administering micro-projects.
RMSP provided various training programmes mainly in the critical areas of basic Accounting and Finance, Performance Monitoring Tool (PMT), Microfinance Best Practices, Ownership and Governance (institutional building and development), customer care, performance management and control.
Under the project staff and directors of 428 POs were trained. Overall there were 1,295 trainees out of whom 48% women benefited.
About 241 members of Community Based Organisations were sensitized in the development of user owned and user managed MFIs, managing and administering micro projects, how to access RMSP resources. In addition 192 chairpersons, managers of MFIs and district officials were also trained.