ZIROBWЕ, LUWEERO — When Share An Opportunity Zirobwe Cooperative Savings & Credit Society (SAO Zirobwe SACCO) started in 2002, it was a small community initiative with just 251 members, Shs7 million in share capital, Shs8 million in savings and a loan portfolio of Shs10 million.
More than two decades later, the SACCO has grown into a major community financial institution with 26,878 members, Shs2.8 billion in share capital, Shs8.5 billion in savings and a loan portfolio of Shs12 billion.
For General Manager Rita Nansitu Sebutinde, the growth is more than a set of financial figures. She says access to affordable credit has enabled members to start and expand businesses, create employment and move from subsistence to commercial farming.
The SACCO was initially established with support from SAO Uganda to help a small group of people mobilise their own resources and access financial services.
Membership was later opened to the wider community, with individuals required to buy a Shs10,000 share and pay a Shs5,000 membership fee.
Its partnership with the Microfinance Support Centre (MSC), a Government agency, began in 2005.
Through the partnership, SAO Zirobwe has accessed affordable financing that it lends to members for agriculture, school fees, asset and property acquisition, boda boda businesses and other enterprises.
The SACCO also offers voluntary and targeted savings products.
Nansitu says the financing has helped members establish businesses and expand existing enterprises, creating jobs and increasing household incomes.
“The affordable credit we receive from the Government has helped our members create employment through establishing and expanding their enterprises. This has increased household incomes and improved livelihoods,” she said.
From subsistence to commercial farming
One of the most visible changes has been in agriculture.
SAO Zirobwe has acquired two tractors from MSC through the Government-supported Local Economic Growth Support (LEGS) project, allowing members to access mechanised land preparation at a lower cost than prevailing market rates.
The SACCO charges Shs120,000 per hectare, compared with about Shs180,000 charged elsewhere, according to Nansitu.
The machinery has also helped farmers address one of agriculture’s biggest challenges — timing.
“When you use a tractor, productivity increases because of early land preparation and planning,” Nansitu said. “When productivity increases, household income also increases, and the members’ livelihood improves.”
About 2,000 members have so far benefited from the tractor services, while four people have been employed to operate the two tractors.
For farmers who previously depended on manual labour or had to wait for tractors from outside the community, the difference is significant.
A job that offers a way forward
For Moses Kalyesubula, the tractor programme has also created a livelihood.
Kalyesubula had previously spent three years driving tractors but later stayed home for about three months without work before applying for a job at SAO Zirobwe. He has now been operating one of the SACCO’s tractors.
“There is a big difference in my earnings,” he said. “Before getting this job, I used to drive tractors occasionally, and sometimes getting paid was a problem. But now things are different.”
Kalyesubula is paid according to the acreage he cultivates. He can work on between six and 10 acres a day, with each acre being paid Shs10,000.
His ambition is no longer simply to find casual work. “My plan for the future is to buy my own tractor, even if it is an old one. I hope to achieve this within four years,” he said.
He also has a family to support, making the job an important source of income.
Farmers gain time — and a bigger harvest
For Nakasujja Saudah, a member of Canon Development Group, mechanisation has changed how the group approaches farming.
Before joining SAO Zirobwe, the group hired a tractor from Bamunanika at Shs180,000 per acre. They now pay Shs120,000 per acre for tractor services from the SACCO, according to Saudah.
More importantly, she says the tractor is available when farmers need it. “We can prepare our land and plant our crops in time,” she said.
The group grows soya beans and groundnuts, with plans to process some of its produce into oil and, eventually, soya paste.
Saudah said delays in accessing tractors had previously affected their farming seasons and harvests. “An acre that used to take us two weeks to cultivate using human labour can now be cultivated in about an hour or less using a tractor,” she said.
The group has about 15 tonnes of produce and plans to expand its activities.
Saudah says the income from farming is also helping her meet family responsibilities, including supporting her children in school.
The group has bought a goat and plans to acquire land and expand into goat rearing.
Building a stronger institution
Beyond financing, SAO Zirobwe has received training in financial management, governance and business development.
Tadeo Atuhura, Head of Communications at MSC, said the MSC’s support goes beyond providing credit.
“Before giving these SACCOs and groups affordable credit, we empower them with skills, particularly financial management skills, so that they can manage their SACCOs, manage their finances and keep proper records,” he said.
Atuhura said the aim is to help SACCO members save, establish businesses, create employment and build household wealth, leading to socio-economic transformation.
He also highlighted the role of mechanisation in improving agricultural productivity. “With a tractor, it can take about 30 minutes to clear an acre,” he said, contrasting this with the week or two that farmers could spend using manual labour.
He said the objective was to move communities beyond subsistence farming.
“We are talking about people who can farm, produce enough, sell their surplus and earn an income. They can then take their children to school and provide better care for their households. Their lifestyles change.”
“For us, that is transformation — transforming the lives of the active poor,” Atuhura said.
The next phase
SAO Zirobwe currently has four branches and plans to open another.
Nansitu said the SACCO’s next phase will focus on increasing membership, savings, its loan portfolio and revenue while expanding digital access to financial services.
The SACCO is also using mobile banking services, including MSACCO, to allow members to access services without having to travel to a branch. “This will reduce the cost of accessing our services as well as transportation costs for members,” Nansitu said.
The SACCO currently employs 68 permanent staff. Recently, the SACCO has also been certified by Bank of Uganda.
For Nansitu, the institution’s growth demonstrates what can happen when affordable finance, savings, training and productive assets are combined at community level.
