2026-09-30

Ruvuma Issues Over 8.5 Billion Shillings in Loans to Groups, Government Urges Repayment

Ruvuma Region disbursed over 8.5 billion shillings in 10 percent council loans to 872 groups of women, youth, and persons with disabilities during the 2025/26 financial year. Officials noted significant business growth while calling for improved financial education, digital system adoption, and timely repayments.

Community DevelopmentMkoa wa Ruvuma

According to the Ruvuma Regional Secretariat, Ruvuma Region successfully issued loans worth over 8.5 billion Tanzanian shillings to 872 groups of women, youth, and persons with disabilities in the 2025/26 financial year. Speaking on behalf of Ruvuma Regional Commissioner Brigadier General Ahmed Abbas during an evaluation meeting, Mbinga District Commissioner Kisare Makori stated that the loans disbursed between 2024 and 2026 have fostered business growth and employment opportunities.

Makori noted that despite these successes, challenges remain, including limited understanding of digital systems, a lack of financial literacy, and the collapse of some groups after receiving funds. He directed council executives to strengthen pre-loan training for beneficiaries, establish 'Wawezesha' system centres, take action against those who divert funds, and involve grassroots leaders to identify trustworthy borrowers.

Acting Ruvuma Regional Administrative Secretary Jumanne Mwankhoo stated that the loan scheme had previously been suspended for one year starting in 2023 due to repayment difficulties. He explained that despite government follow-up efforts, some groups have failed to repay their loans, thereby delaying the availability of revolving funds for other potential beneficiaries.

The Ruvuma Regional 10 Percent Loans Coordinator, Xsaveria Mlimila, reported that the financing has boosted production of strategic crops including avocado, cassava, soybeans, ginger, and paddy. However, Mlimila pointed out that many youth struggle with timely repayments, participation among persons with disabilities remains low, and some groups form solely to obtain money, posing a challenge to the fund's sustainability.

Access to local government empowerment loans and the identified gaps in financial and digital literacy directly relate to TCDI's interest in youth livelihoods, entrepreneurship, and community economic development in Ruvuma. This is TCDI context, not a statement by the source, and does not mean TCDI took part in what is reported.

Automatically prepared from the cited official source; not individually reviewed by a TCDI editor.