The government has approved TZS 11.5 billion to be disbursed as loans to 467 qualifying groups of women, youth, and people with disabilities under the 10% local government revenue allocation scheme.
Morogoro Regional Community Development Officer, Dickson Makoba, revealed this yesterday while providing an update on the status of the loan disbursement program.
Makoba stated that as of December 31, 2024, all local government councils in Morogoro have completed the first phase of the loan distribution process.
The breakdown includes loans for 293 women’s groups, 147 youth groups, and 38 groups of people with disabilities.
“People with disabilities alone will receive TZS 849.1 million,” he said.
Makoba explained that since April 2023, the government temporarily halted the disbursement of loans under the 10% revenue scheme to streamline the process, ensuring that beneficiaries can access and repay loans efficiently.
To address the challenge of non-repayment by some groups, the government has revised the guidelines and regulations for loan issuance.
Morogoro Regional Commissioner Adam Malima emphasized that the loan issuance process should be free of bureaucracy to facilitate easier access.
He also highlighted the importance of strict monitoring to prevent misuse, such as incidents involving ghost groups in the past.
“There were cases where fake groups were formed to access funds, and loans were never repaid. This is why President Samia Suluhu Hassan temporarily halted the program,” Malima said.
Morogoro Regional Administrative Secretary, Dr. Mussa Ali Mussa, urged local councils to support loan-receiving groups by purchasing their products.
“Councils should educate loan applicants on the importance of production. Many groups fail to repay loans because they don’t engage in productive activities,” he said.
Hassan Mkazi, the Chairman of the Tanzania Albinism Society (TAS) in Morogoro, pointed out challenges faced by people with disabilities, particularly in using electronic systems for loan applications.
These challenges are significant for individuals with visual impairments, hearing disabilities, and blindness.