By Johannah Nantongo
Beneficiaries of the Parish Development Model (PDM) loans will be required to begin repaying their funds once the two-year grace period ends in March 2026, government officials have confirmed.
The State Minister for Luwero Triangle and National Coordinator of the PDM, Hon. Dennis Galabuzi, disclosed this while appearing before the Public Accounts Committee (Central Government) on Tuesday, 03 March 2026. He explained that the first substantial disbursements were made in the 2022/2023 financial year after earlier administrative challenges in 2021/2022 affected the rollout.
Galabuzi said government has started reminding parish chiefs and supervisors to inform beneficiaries about their repayment obligations. He emphasized that the PDM is designed as a revolving fund, meaning repayments are essential to allow other community members to benefit.
His remarks followed concerns from Members of Parliament who noted that some recipients reportedly misunderstood the funds as grants rather than loans.
Kassanda County North MP, Hon. Patrick Nsamba, questioned whether the ministry has a clear communication strategy to correct public misconceptions about the programme. He warned that without proper sensitization, beneficiaries may feel misled when asked to repay the money.
Kalungu West MP, Hon. Joseph Ssewungu, echoed concerns about weak communication and limited functionality of PDM technical committees. He referenced audit findings indicating that gaps in coordination, monitoring, and reporting could undermine the programme’s effectiveness. According to Ssewungu, better information flow and active committees would help rebuild public confidence.
Tororo South County MP, Hon. Fredrick Angura, raised another concern regarding 127 parishes that have yet to receive PDM funds. In response, the Permanent Secretary in the Ministry of Local Government, Ben Kumumanya, explained that the affected parishes lack elected local council leaders, making them ineligible for disbursement until elections are conducted.
The Auditor General’s report further noted that guidelines governing repayment of the Parish Revolving Fund are still in draft form and have not been widely circulated. The Auditor General advised the accounting officer to clarify the roles of the policy and technical committees and to ensure proper documentation of their resolutions and actions.
Lawmakers indicated they will continue monitoring the programme to ensure improved communication, accountability, and effective recovery of funds as the grace period comes to an end.