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Strategy Flaws Undermine Parish Development Model Success

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Strategy Flaws Undermine Parish Development Model Success
Dominic Mafabi Gidudu the State Minister for the Elderly (C), monitors PDM projects in Mbale

The Parish Development Model (PDM), launched in 2021 to improve service delivery and household incomes, faces significant implementation challenges that could derail its objectives.

A recent report by the Auditor General for the financial year ending June 2024 highlights critical gaps in monitoring, licensing, and registration, raising concerns about the program’s sustainability.

One of the key issues is the absence of a developed PDM Results Framework. Although the Implementation Guidelines of February 2022 mandate the creation of a monitoring and evaluation (M&E) framework and periodic national surveys, none of these have been operationalised.

The lack of performance indices at the subnational level has made tracking progress at the parish level difficult.

Additionally, the failure to integrate PDM updates into the Government Annual Performance Report (GAPR) has compounded accountability issues.

The Auditor General urged the PDM Secretariat to expedite the development of the M&E framework, warning that without it, assessing the program’s performance would remain a challenge.

Concerns were also raised about the status of PDM Savings and Credit Cooperative Societies (SACCOs). The report revealed that 10,589 SACCOs funded during the 2023/24 financial year remain unlicensed, contravening the Microfinance Institutions and Money Lenders Act.

This non-compliance poses a legal risk to the government in recovering funds. Despite a two-year probationary period for SACCOs to obtain licenses, the PDM Secretariat has delayed issuing guidance.

The Auditor General recommended immediate action to ensure all SACCOs comply with the Cooperative Societies Act to safeguard financial operations under the program.

The report also flagged irregularities in the registration of enterprise groups as Community-Based Organizations (CBOs).

Out of 6,181 enterprise groups in 460 SACCOs across 18 local governments, many were not registered, raising the risk of funding illegitimate enterprises and the potential loss of Parish Revolving Funds (PRF).

Communities attributed this to skepticism about the program and insufficient budgets for printing registration certificates.

The Auditor General advised increasing funding for logistical needs and intensifying community sensitization to address these barriers.

Farmers under the PDM are required to obtain agricultural insurance under the Uganda Agriculture Insurance Scheme (UAIS).

However, the report noted that 19,693 farmers across 1,817 SACCOs in 119 local governments have not secured these policies, leaving them vulnerable to climate-related risks and potential loan defaults.

Local government officials attributed this to inadequate guidance and insufficient funding for UAIS registration.

Agricultural extension services, which are vital for guiding farmers, also face significant shortcomings. Only 44 percent of the required 5,874 extension workers in 135 local governments are in place, with no positions filled in municipal councils.

Over 1,035 extension workers lack essential tools such as motorcycles and protective clothing, limiting their effectiveness.

Additionally, many of the 2,561 extension workers currently employed lack professional certification to provide adequate support to farmers.

The gaps in extension services were attributed to a recruitment freeze, limited funding, and a lack of awareness of the Ministry of Agriculture, Animal Industry, and Fisheries’ professionalisation initiative.

The Auditor General’s report calls for urgent reforms to address these issues and ensure the program fulfills its transformative potential.

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