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Kampala – The Government has tasked the newly inaugurated Board of Directors of Walimu Cooperative Savings and Credit Union (Walimu Sacco) with recovering more than Shillings 11 billion in defaulted loans and reviving dormant teachers’ Savings and Credit Cooperative Organisations (Saccos) across the country.
The board has been given until March 31, 2027, to recover at least 80 percent of the outstanding loan portfolio as part of wider efforts to restore confidence in the teachers’ cooperative movement.
Having invested Shs27 billion in Walimu Sacco, the Ministry of Trade, Industry and Cooperatives is demanding stronger accountability and improved governance to ensure the institution delivers better financial services to teachers.
Government officials revealed that Shs11 billion of the capital invested remains locked in unpaid loans, significantly reducing the Sacco’s capacity to provide affordable credit and promote financial inclusion among its members.
Speaking during the inauguration ceremony in Kampala, the Commissioner for Cooperatives Policy and Development at the Ministry of Trade, Industry and Cooperatives, Robert Bariyo Barigye, said the new board must strengthen supervision, improve governance, and ensure recovery of the outstanding funds.
“The board has been tasked with strengthening supervision, improving governance, and ensuring recovery of the outstanding funds lost through poorly managed Sacco lending,” Bariyo Barigye said.
He further disclosed that only 39 out of the 385 registered teachers’ Saccos in Uganda are currently active, describing the situation as a wake-up call for stronger oversight and better leadership within the cooperative movement.
The newly appointed Board Chairperson, Steven Olinga, pledged to restore confidence in Walimu Sacco by reviving inactive Saccos, rebuilding members’ trust, and ensuring that public funds invested in the institution deliver value to teachers.
“We accept this challenge with full commitment. Our priority will be to restore trust among teachers, revive dormant Saccos, and ensure that public funds injected into the sector deliver value to members,” Olinga said.
Walimu Sacco General Manager Caroline Atai urged the board to prioritise good governance, improve operational efficiency, and adopt technology-driven financial systems to strengthen service delivery and minimise future loan defaults.
Government officials said the success of the new board will be assessed not only by the amount of money recovered but also by the number of dormant Saccos revived and the overall improvement in services offered to teachers across Uganda.
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