KIDA operates the only SACCO (Savings and Credit Cooperative) in Uganda that targets the vulnerable AIDS affected population. Its goal is to empower the vulnerable,regardless of their health status, religion,tribe or political affliation.
Those who join KIDA’s SACCO open a savings account first and receive training in saving and borrowing. They are required to save a small amount regularly.
The program is open to both HIV positive clients and the general community.
A member can apply for a loan not more than three times the value of that member’s savings balance. There are application requirements and repayment requirements.
Mr.Fortunate Kusemererwa is KIDA’s full-time microfinance manager.He has a diploma in Accounting and finance.
KIDA’s SACCO elects a Board of Directors and holds an annual general meeting. The money belongs to the members. A committee approves loans.
Interest on loans is 2% a month, much less than other SACCO’s in Uganda. There is no profit-making goal, rather service and empowering the vulnerable. 97% of borrowers pay back on time. 3% are late but eventually repay.
Currently (January 2020) there are 2584 members and it is now self-sustaining. The Sacco has grown to the extent of opening another branch in Rwankenzi,a small town located approximately 19km away from KIDA sacco main office. This will save on the transport costs that would be inncured on travel. The sacco has also acquired an MTN mobile money line to help clients send money direct to the sacco account. Apparently the sacco is undertaking a construction project of th sacco offices on a piece of land acquired in KIDA neighbourhood.