KAMPALA, Uganda — President Yoweri Kaguta Museveni announced on Friday, July 18, 2025, a significant boost in government funding for wealth creation initiatives targeting Uganda’s urban poor.
During a stop in Bwaise II, Nabukalu Zone, Kawempe Division—one of Kampala’s most densely populated and economically marginalized areas—as part of his Parish Development Model (PDM) and wealth creation tour, President Museveni pledged to increase allocations for “ghetto-based” structures from UGX 100 million to UGX 1 billion per division annually.
The President justified the substantial increase by citing the high population density and pressing unmet needs within these communities.
“Now here in the ghetto, because of the high population numbers, we can go from UGX 100 million to UGX 1 billion per parish per year for the ghetto structures alone,” President Museveni stated. He further noted the existing PDM allocations, explaining, “In the 22 parishes of Kawempe Division, there’s already UGX 2.2 billion of PDM each year, but the ghetto needs special attention.”
This enhanced funding is an integral part of a broader government strategy aimed at bolstering small-scale, self-sustaining income-generating activities for the urban poor, many of whom face challenges in accessing formal employment or business capital.
“Kampala will receive UGX 5 billion for ghetto-specific programs across its five divisions,” he affirmed, clarifying that this sum is in addition to existing PDM allocations.
Despite a torrential downpour that lasted nearly an hour, President Museveni persevered, touring various micro-enterprises that have benefited from previous rounds of ghetto funding. These ventures included goat rearing, electrical repairs, tailoring and design, bakery, and printing services, among others.
Accompanied by key mobilizers and local government officials, the President stressed the critical importance of what he termed “pro-poor budgeting.” He cautioned against the diversion of national budget funds to administrative costs and unproductive expenditures.
“Some of the expenditure is not productive, money spent on salaries for district officials, new districts, and unnecessary administrative units. This money should be going to the poor, to PDM, and ghetto empowerment,” President Museveni asserted.
He urged ghetto leaders and youth to actively participate in national decision-making, moving beyond merely being beneficiaries. “Support me politically so I’m not just left in the hands of technocrats and parliamentarians. If we unite and you support these programs, we can transform Uganda from the bottom up,” he declared.
He cited a recent example from Ntungamo, where pressure to create new districts persisted despite stagnant population levels. “Recently, I had a big effort in Ntungamo; people wanted to create more districts: Ruhama, Kajara, and Rushenyi. Yes, the district is big, but the population has not increased. So this area, which is small and compact, why do you want to have more managers, and why do you want to spend money on that instead of prioritizing education for the children of the poor?” he questioned.
“Instead of spending money on new MPs and district officials, we should invest in education, roads, drainage, and the ghetto economy,” the President added, encouraging residents to diligently monitor government funds, including the UGX 10 billion allocated to Kawempe under the PDM over the past four years, as well as funds from Emyooga, the Youth Livelihood Fund, and the Women Entrepreneurship Fund.
“Follow the money and ensure it is not eaten. You received UGX 500,000 and managed to start something. That shows the potential when funds reach the right people,” he emphasized.
In a personal reflection, President Museveni recounted his first visit to the ghetto in 1968 as a university student involved in underground political movements.
“I went to Katwe and connected with Abas Kibazo and others. That’s when I began understanding the plight of the abawejjere—urban poor who had been forgotten after independence,” the President shared.
He elaborated on how the Katwe group later contributed to the anti-Amin liberation effort in the 1970s, with some members joining him on missions to Mbarara, Dar es Salaam, and Mozambique for military training.
“When Amin took power on 25 January 1971, we met that afternoon, and we decided to fight him. He had no chance because he didn’t understand anything,” Mr Museveni recounted, noting that individuals like Ahmed Ssegguya, recruited from Katwe, became part of the liberation force.
The President later entrusted the ghetto groups to Hon. Amama Mbabazi in 1974, observing that many leaders struggled to collaborate with the uneducated, despite their valuable skills in mechanics, carpentry, and printing.
Mr. Sadam Kiggundu, known as Amigo within the ghetto, expressed gratitude for the UGX 140 million his structure had previously received. He appealed for the establishment of specialized skill centers in the ghetto to offer vocational training in areas like tailoring, welding, and carpentry, particularly in light of the significant increase in vulnerable children in Kawempe, from 700 in 2022 to over 4,000 in 2024.
Mr. Sserunkuuma Nesta Sabiiti, also known as Peace-Keeper, remarked that President Museveni’s direct engagement with ghetto youth had positively transformed their perceptions and economic prospects.
“It’s good that you’ve come in the rain; now you have seen how we live when it floods. We appreciate you and promise full support in the 2026 presidential election,” he pledged, further requesting a boxing gym, improved public toilets, and enhanced drainage systems as urgent health and safety priorities for the community.
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Other ghetto residents shared success stories stemming from the initial funding rounds. Ms. Opicia Dorothy from Nabukalu Zone detailed how a UGX 500,000 investment allowed her to start a broom business, enabling her to educate all seven of her children.
She noted that a sack of soft broom seeds sells for UGX 80,000, while finished brooms retail between UGX 1,000 and 3,000 each. Mr. Mubiru Wilberforce and Oscar Ssematimba also recounted their success in goat farming, starting with two goats in October 2024 and now owning 25, illustrating the potential for small investments to foster sustainable businesses.
Addressing the issue of education, President Museveni reiterated his concerns that earlier educational reforms, such as the Universal Primary Education (UPE) initiative introduced in 1996, have been undermined by corruption and inadequate oversight.
“Headmasters connive with PTAs to charge illegal fees. LC5 chairmen and MPs don’t follow up. The poor suffer, and children drop out,” he asserted, attributing this partly to misguided political priorities. The President highlighted the State House skilling hubs as a successful model, providing six-month vocational training to youth who have not completed formal schooling.
“We’ve shown that you can turn someone with nothing into someone productive. Everyone now wants skilling hubs,” he concluded.
The President concluded his tour with a public rally at Kawempe Mbogo Mosque Playground.
