RUKUNGIRI- The Minister of security who doubles as the Rujumbura county legislator Hon. Maj. Gen. Jim Muhwezi Katugugu has advised Muslims in Rukungiri district to increase savings and invest wisely if they want their newly formed SACCO to take a step in terms of development.
Minister Muhwezi’s message was delivered by the Rukungiri district chairperson Geoffrey Kyomukama who represented him as the guest of honour at the official launch of Rujumbura Muslim Cooperative Savings and Credit Society Ltd at Rukungiri main mosque in southern division, Rukungiri municipality.
The Minister advised the SACCO leaders and members to expand their investment portfolio to include earning profits from fixed deposit accounts and also buy more shares since their Sacco is under Islamic banking which does not allow interests in their loans. He also warned them against multiple borrowing.
Kyomukama however noted that several SACCOs have been formed, grown and collapsed in a very short time, advising that this should not be part of “the graveyard of dead SACCOS. He thanked the Rukungiri Muslim leaders for this initiative led by the district kadhi sheik AbdulMalik Kayole Byaruhanga.
Minister Muhwezi donated five million shillings cash towards the development of the Sacco and pledged to continue supporting it for social economic transformation.
Hon. Naboth Namanya the Rubabo county Legislator hailed the leadership of Muslims in Rukungiri for working hard towards the development of their religion and starting up a Sacco which people will use especially Muslims to eradicate poverty from their household and asked people to support and use it.
Clare Ainembabazi, representing Rukungiri District Woman MP Hon. Midius Natukunda Kaharata, commended the Muslim community for setting an example as the first to establish a Muslim Sacco in the district and delivered the legislator’s Ugx 500,000.
Mpirwe Vanasio, the manager centenary bank Rukungiri Branch noted that they will support the Muslims in developing their Sacco and they donated two sets of computers and one million cash towards the development of this Sacco.
The Rukungiri district Muslim Kadhi Sheikh Abdul Malik Byaruhanga Kayole pointed out that they are ready to do all it takes to develop their Sacco hence asking all people irrespective of religion to open accounts, buy shares and use it to borrow loans with no interest.
Kayole thanked people who have contributed towards the development of their Sacco like the chief guest Muhwezi Katugugu, Brig. Gen Henry Tumukunde who gave them 2 million, Hon Elisa Rutahigwa 1 million, Naboth Namanya Ugx 500,000 among other well-wishers. Over 10 million shillings was raised at the Sacco launch.
Nazir Katoto the chairperson of Rujumbura Muslims Sacco narrated that they mooted the idea of this SACCO after forming a saving group as Muslims that ended up leading them to mobilizing resources to form a SACCO.
Katoto added that their Sacco now has over 330 members who have fully registered and bought shares .
Islamic banking is a form of banking based on Islamic principles. Basically, in Islamic banking it is not allowed to pay and receive interest but rather it is based on profit sharing. Islamic banks focus on generating returns on investments through investment tools that are “Sharia” compliant.
