celebrating social-economic recovery and empowerment through an education that affirms the value of transferable, complimentary, job creating, and personal hands on skills diversity”: increasing the number of entrepreneurs through creating Micro Small and Medium Enterprises (MSMEs), enabling their financing and sustainability.


In October 2015, we launched a program called “The Pearl Renaissance” as a major economic, social and educational rights and development program aiming at addressing the conditions of chronic poverty and unemployment due to the poor education system that does not offer creative designs, skills and talents needed to direct Ugandan scholars into a creative confrontation with the world.

Pearl Renaissance founded to enhance business and economic development for our community, seeks to provide entrepreneurial expertise and resources for new business ventures, vocational personal hands on skills in artisan, mechanical, electrical and modern agriculture in crop and animal husbandry with modern farming methods that adapt to the adverse effects of climate change, integrate people into nation building community groups with group funds and make micro loans and insurance for members of groups and communities to access financing to create jobs and to adopt cheap irrigation to enable them grow crops through the year even where there is persistent drought other than waiting upon government to offer an elusive solution.


To encourage the entire congregation to integrate into two groups:

2. Encourage them to contribute a small fee of 20,000/= per month which should be divided into three components.

(i) 12,000/= for the loan scheme/fund

(ii) 4,000/= for the health insurance scheme for members.

(iii) 4,000/= for the life insurance scheme where retiring members of the church can access retirement benefits to set for them up individual businesses to enable them settle well and happily in their last days on earth until death.

(iv) Every child born as member of the church should be registered and a small progressive amount of money/premium paid in their name to prepare them for health insurance, life insurance and loan especially when they grow and they are ready to create jobs.

(v) After one year, if 20,000 members are contributing 20,000/=, the church will have 4.5 billion to provide;

i. Interest free loans to 10 skilled entrepreneurs each group in medicine, pharmacy, metal works and fabrications, chicken farming, fish farming, mush room farming, crop farming, and other many areas of enterprise development in agriculture and construction, brick laying, and concrete works to meet the housing needs of the growing population of Uganda. These groups of entrepreneurs should be encouraged to go out to work as much as possible to come back and support the work of the kingdom of God through offertories and tithes. Thus helping and empowering them to building a social-economically and purpose driven church and contributing to a middle income economy by 2030 themselves and not government.

ii. To begin a church community hospital to provide quality health services for members of the church who have health insurance membership cover other than leaving them to suffer at Mulago and other government hospitals. Be able to help the victims of non communicable diseases as Heart diseases and cancer that have claimed lives of many Ugandans while medical professionals and government are looking all.

iii. To begin preparing for the retirement of old members of the church to enjoy their last days peacefully and happily using the life insurance scheme.

iv. To provide cheap and clean solar energy to help the congregants to run business capital equipments at no or low cost other than rely on UMEME YAKA that cheats them. This is intended to maintain and sustain business growth at low cost.


(1) Group members will be able to make a one stop shopping centre since they will be trained in diverse skills like making windows, doors, tables, cutting and fitting glasses into them, chairs and beds. This makes it easy for them to earn very good contracts to supply many items.

(2) Making of micro-loans available and repayment will be guaranteed because of revenue collection certainty

(3) Diversity of skills and group integration will help in the formation of Micro, Small and Medium Enterprises commonly referred to as MSMEs, and enabling their development through accessing financing in the banking sector. To ensure their sustainability, the Pearl Foundation will create and link them to financial institutions, Youth venture capital fund/Youth livelihood fund and establish linkages with larger firms to enable them acquire new technologies and increase their competitiveness in local and regional markets. For example if a group is trained in chicken rearing skills, the Pearl will link it to Ugachick or Kenchick to acquire improved skills for improved productivity, efficiency and competitiveness in the market. Then Ugachick will benefit through supplying chicks and feeds to the trained groups.

lack of finance as hindrance to the development of the micro, small, medium, enterprises (msmes)

1. According to a study by IFC on Enhancing SMEs Access to Finance (2014), SMEs themselves report lack of access to finance to be one of the greatest barriers to their growth. Half of SMEs in emerging markets are credit constrained. Some 70% of MSMEs have no access to external finance, and another 15% are under- financed. All this adds up to an estimated credit gap of US$3.2-US$3.9 trillion (US$2.1-US$2.6 trillion in emerging markets).

2. In Uganda, access to finance for SMEs is extremely limited. This curtails the growth potential of SMEs and entire economy. Without access to long term debt from commercial banks, SMEs have had to mainly rely on the informal sector especially the Loan Sharks that charge exorbitantly inhibiting interest rates. Because the mortgage market in Uganda remains underdeveloped, many households tend to turn to loans from Micro Finance Institutions (MFIs) and Savings and Credit Cooperatives (SACCOs). Whereas these financial institutions are spread countrywide unlike commercial banks, their performance has been riddled with allegations of corruption.

3. A crucial element in the progress of the SME sector is access to finance, particularly to bank financing. Firm-level data collected by the World Bank shows that access to finance is perceived as one of the main obstacles to doing business (World Bank, various years). Inadequate financial infrastructure bars a majority of the people from making productive investments in their businesses. Lack of access to finance is an important limitation on employment, economic growth and common prosperity.

4. In a study on Financing small and Medium- scale Enterprises (SMEs): Uganda`s Experience, Kasekende and Opondo (2003) noted that SMEs in Uganda suffer from constraints that lower their resilience to risk and prevent them from growing and attaining economies of scale. The challenges are not only in the areas of financing investment and working capital, but also on human resource development, market access and access to modern technology and information.

5. Access to financial resources is constrained by lack of MSMEs` creditworthiness, management capacity, and level of awareness of financial instruments. This makes SMEs vulnerable to shocks to revenue or costs and unlikely to expand beyond the rate allowed by investment of earnings. Thus, poor returns, lack of good financial records, and lack of collateral make them not creditworthy.

6. SMEs are further regarded as insecure and costly businesses to deal with because they lack the required collateral and can absorb small amount of funds from financial institutions. So they are rationed out in their access to credit because of high intermediation costs, including the cost of monitoring and enforcement of loan contracts.

7. Although SMEs usually look to the banking sector and other financial intermediaries for instruments to finance working capital and to provide credit for short-term liquidity management, they often fail to access the financial resources in the required amounts. In instances where bank financing is provided, the funds are usually insufficient and at a high cost in relation to the term to maturity of loans and the real expected return on investment. In Uganda, loans are of a short duration, normally less than five years, and the average interest rate is way above the inflation rate.

8. The domestic banking system plays a sub-optimal role in facilitating development in the sense that it is not financing much real economic activity. Worst still, the distribution of credit is lopsided against agriculture and in favor of trade financing and manufacturing, yet agriculture is the back bone of Uganda`s economy. But even the little credit that flows into agriculture is concentrated on marketing as opposed to production.

9. The lending activities of the banking system tend to concentrate on less risky and higher-yield shot-term lending especially for trade and working capital. Their risk-aversion tendency is based on the experience of poor loan repayments. This has led to exceptionally high real lending rates and interest rate spreads that constrain private sector demand for credit.

how will the pearl help msmes access finance as means to develop vibrant smes and the agricultural sector.

(I) The Pearl will help MSMEs access to finance as means to developing vibrant SMEs and….We are aware that finance plays a fundamental role in enterprise development and this can only be possible if such finance is accessible and realistically priced. Although SMEs are recognized as critical for the economic and social development of emerging markets through creation of jobs and generating income for low income people, limited access to financial services remains a severe constraint to SMEs. SMEs suffer from liquidity problems arising from late payments by debtors and other cases, defaulters.

(II) Pearl is on a campaign to ensure a deliberate effort to support and link SMEs to microfinance institutions, mobile financial services, micro-insurance, credit bureaus, collateral registries, securities markets, and financing to MSME entrepreneurs strengthens the fight against poverty and promotes inclusive economic growth.

(III) Creating and expanding SME financing can deepen and result in increased SME activity, their growth and achieving an optimal size for business. Growth and expansion in turn will impact SME income and job creation, which are powerful paths out of poverty. We need to address demand side constraints such as financial illiteracy and supply side constraints such as inefficient financial systems.

(IV) The Pearl renaissance will provide Banks in Uganda with reliable information and adequate guarantee is the main hindrance to SME lending because Bank of Uganda stipulates that all loans above certain minimum must be adequately secured, with first-class guarantees or a bond over property as the preferred security type.

(V) Though loan products remain largely standardized, the Pearl renaissance will co-operate with banks to pursue innovation and differentiation as a part of their SME strategy. Banks should make considerable investments to develop their relationship with SME clients. This will hopefully contribute to close the “SME financing gap.”

(V) Though loan products remain largely standardized, the Pearl renaissance will co-operate with banks to pursue innovation and differentiation as a part of their SME strategy. Banks should make considerable investments to develop their relationship with SME clients. This will hopefully contribute to close the “SME financing gap.”

(VI) Pearl`s SMEs can be facilitated by reforming the legal framework for secured lending and reviewing the regulatory treatment of collateral to provide a wider share of their assets as a guarantee for their borrowings.

(VII) Pearl Renaissance will create and collect SME-specific statistics and data on their characteristics to better understand the demand-side perspective. This is equally important in the development of the SME lending market. Measures in this domain might include the scaling up of capacity building programs and introduction of incentives for SMEs to formalize

(VIII) The Pearl Renaissance will introduce a simplified business groups registration and Micro-insurance process and cover for every group we train which takes into consideration the peculiarities of SMEs compared to larger companies has another way that SMEs can be supported to access financing.

(IX) Pearl renaissance will ensure through dialogue that most banks recognize the importance of SMEs and establish separate units to be more responsive to the needs of their SME clients, in recognition of the inherent differences between SMEs and consumer and corporate clients. We will engage some banks and other financial institutions to allocate resources to provide training to their SME clients to improve their management skills and financial reporting.

(X) Finally as measure to fully train, incorporate the trained youth into groups and make them group funds, register these groups with Uganda Registration Services Bureau, make them Micro Loans and Micro insurance, we founded THE PEARL RENAISSANCE FUND: This is founded as a treasury to solicit for funds to train and make micro loans for the trained youth to help them create their jobs and fight poverty. It will seek to partner with various banks, the Youth Venture Capital Fund and other Funding agencies to provide micro loans to the trained youth. The Pearl Renaissance task force will monitor and manage the group’s activities until the loans are repaid to be able to hand over the management of the activities. Training the groups only would not help them without starting capital.