Domince Lokiru, the chairperson of Nabatua Cow Traders and Slaughtering Group Village Savings and Loan Association, was one of the most renowned cow warriors at the height of cattle rustling in Karamoja region and its surroundings in the early 2010s.
It was common knowledge for Lokiru and his company to return from attacks with hundreds of livestock, goats, and sheep that had been taken from other tribes. But there were expenses associated with this custom.
In addition to the loss of cattle in some areas, Lokiru notes that both sides of the raids lost individuals in the struggle to seize or defend livestock. In 2000, Lokiru decided enough was enough.
“We were not going back to fight with our neighbours. We decided to take advantage of the disarmament exercise and use whatever knowledge would be shared with us to make a living in our own Kanakomol village, Nadunget sub-county, Moroto district,” Lokiru says.
At Kanakomol, they formed the Nabatua Cattle Traders and Slaughtering Group, a village saving and loan group that had over 50 reformed warriors.
“We surrendered and handed over the weapons in 2000. In 2001, I then mobilised my gang members and told them we settle at Kanakol. I am happy that the members who followed my appeal are now members of our Nabatua Cattle Traders and Slaughtering Group. We abandoned raids and killings and instead chose peace,” he says.
Ibrahim Iko, the group treasurer, says the group was formed in 2013 and started off with 50 members. Emmanuel Lomongin, the secretary of the group, says it was formed with the “aim of ensuring we get developments and improving the lives in our communities.”
The 50 ex-rustlers formed a rotating savings and credit group in 2013 after they abandoned cattle rustling for more productive lifestyles and each member started saving Shs 2,000 per week. With the money saved, we started buying animals and selling them,” Lomongin says.
ENTER MSC
Lokiru says the Nabatua Cattle Traders and Slaughtering Group is a good group that he felt the government should support.
“It’s the most successful reformed warrior group that is visible,” he said. “We are glad to work with the Moroto Micro Finance Support Centre (MSC), who have shown us the way and walked with us in every step. They have taught us saving and investment skills and the need to come together to save,” Lokiru says.
He says at the MSC they were taken through training on financial matters and after a series of trainings, they were “told to approach them and apply because they had some money for organised groups and Saccos. We tried and were lucky that at our first application, we got a loan of Shs 30m, payable within a period of one year,” Lomongin says.
Brenda Atim Micheals, the MSC Senior public relations officer, said some of the members of the group were involved in stone quarrying within the village, while others were engaged in breweries together with their wives.
“They began by saving Shs 2,000 per week, which they would collect and give to one member, who would repay the money at a small interest rate,” she says.
When the loan was advanced to the group, it was divided up among the members and they recapitalized their business and bought more animals for slaughter.
“This was our first loan and what we did was call all the members once the money had been deposited on our account. We then asked those who wanted loans to borrow, but then you had to have a guarantor. We are glad that the initial Shs 30m was given out to the members who wanted money and within a year we had paid back the money and qualified for a second borrowing,” Lomongin says.
In 2017, the group again made another application to the MSC.
“This time around, they gave us Shs 37m which we lent to the members, and used In their businesses, and we paid it back and also made some profits. That motivated us to again make a third application, which was biggest, and this time around, we were given Shs 50m, which we paid back. In the fourth application, we were again given Shs 50 million, which we successful paid back,” Lomongin adds.
Atim said government, through the MSC, has financed the group of reformed Karimojong cattle rustlers to the tune of Shs 167 million over a period of five years.
She said the group received their first loan in 2016, following a series of trainings in group dynamics, record keeping, group governance, enterprise selection and financial management to prepare them for financing. They invested the money in cattle trading, buying livestock from various markets in villages within Karamoja and selling it in town markets. They would also slaughter livestock and supply the meat to butchers within Moroto district,” she adds.
She said that with the income, they were able to repay the loan without defaulting and access three other facilities in the subsequent years. Atim said presently, 209 groups, cooperatives and small-scale businesses have been financed in the sub-region to the tune of Shs 8bn.
“However, this is just a drop in the ocean. Karamoja needs special focus, committed leaders and affirmative action to put the right infrastructure in place in order to increase investment opportunities and access to affordable financial services,” she said.
Lomongin says the impact of the loans has been tremendous.
“14 members acquired land and have built permanent homes in Moroto district. All the members have been able to educate their children, and some of them are now at the University. We have also gained knowledge and skills in financial management through the free trainings offered by MSC, despite their low literacy levels,” Lomongin says.
Lokiru is one of those with a son at Makerere University.
“I am one of the biggest beneficiaries.” From the profits I have made, I have a son at Makerere University,” he says.
He also says they have been able to buy for themselves animals, which include goats, sheep, and cattle. Last year, the group saved Shs 58m but the money was shared out among the members at the end of the year. This year, they have been able to save Shs 56m that has been used to loan members money to buy animals.
“We don’t force you to take the money. It depends on your payment capacity, and each member is charged an interest rate of 10% against the money borrowed,” Iko adds.
DELAYS
Lomongin says last year they applied for a much bigger loan amount, but there were delays.
“We were hopeful that this time around we would get Shs 100m loan facility, and had we gotten that money, I believe we would have paid it fully back, but there have been delays,” he says.
MSC Karamoja zonal manager Lydia Nambuya admits that there have been delays in disbursing the money.
“We received their application, but we are just waiting for the disbursement from the head office. They had applied for Shs 100m but then the limit for the groups was Shs 50m; so, we gave them Shs 40m because there was a reduction in savings. When we shared with them, some members left the group because they were misbehaving,” she says.
PROMISING FUTURE
Hassan Loyoro, a member of the group, says the intention is to develop the area.
“You can see the way the place is. We need more support from the government and additional funds to support the community, especially the former warriors. Now we are trying to support the community and bring all of them to join us so that they don’t go back to the bush,” Loyoro says.
He urges government to either give some of their members iron sheets or money so that they can build permanent residencies and homes.
He also urges the municipal Council to reduce the licence for the trade.
“They charge quite a lot of money. They charge Shs 10,000, which is divided among the municipality, veterinary doctor and the Islamic Community. Let them at least reduce it to Shs 5,000 so that members can at least realize some good profits,” he says.
He also says that they want to ensure that as many members as possible join their Sacco and other Saccos for the sake of peace in Karamoja. Lokiru says that when they get money, they will be able to have a bigger negotiating capacity.
“We will use part of the money to acquire a truck that will see us buy cattle and goats from different parts of the country, like Amudat and Kotido, cheaply. We will also be able to transport some of the cattle to Kampala rather than allow other traders to come and buy cattle from us here at throwaway prices,” Lokiru says.
He says that they have also received visits from several other groups from different parts of Karamoja for benchmarking purposes.
“We buy cattle and goats and either sell them live or slaughter them. But sometimes we have situations when we also incur heavy losses as a result of the less weight of the carcass slaughtered or sometimes the death of animals,” Lokiru says.
Lokiru, however, says that there is a need for more government agencies to take them through more financial training and exchange visits to other regions so that they can learn.
Source: The Observer
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