President Yoweri Kaguta Museveni has committed Shs85 billion to a revolving fund intended to support salon operators across the country, in a move aimed at strengthening small enterprises within Uganda’s expanding beauty and personal care sector.
The pledge was made on Sunday at Kololo Ceremonial Grounds during the official launch of the Federation of Uganda Salon Operators and Beauty Professionals.
Addressing the gathering, President Museveni commended salon operators for offering vital services, noting that their role has grown in importance with increasing urbanisation and fast-paced modern lifestyles.
He reflected on the colonial era, during which African beauty and identity were diminished, with Africans made to believe they had to imitate Europeans to be considered beautiful. Museveni said that mentality has since been overcome, with Africans—particularly in the Great Lakes region—now confidently embracing their natural beauty.
The President welcomed the emergence of locally produced beauty products developed by salon professionals, describing the trend as a positive step towards self-reliance and economic empowerment.
On financing, Museveni explained that the support would be delivered through a revolving fund model, with each Savings and Credit Cooperative Organisation (SACCO) receiving Shs100 million annually.
With about 850 SACCOs involved, the total annual allocation would amount to Shs85 billion. He noted that the revolving fund approach has been successful under the Parish Development Model, where beneficiaries access affordable loans, invest productively, and repay the funds with minimal interest.
Museveni further observed that salon businesses operate on a shorter business cycle compared to agriculture, proposing loan periods of up to one year.“You can give them money for one year, they use it and return it with small interest,” he said.
Deputy Speaker of Parliament Thomas Tayebwa thanked the President for prioritising grassroots entrepreneurs, noting that many leaders often neglect ordinary Ugandans.
He also praised Gen. Salim Saleh and Operation Wealth Creation for being among the first to engage and support salon operators.
Tayebwa, however, expressed concern that funds allocated to groups like salon operators in the national budget are sometimes not released by implementing agencies, particularly the Microfinance Support Centre.
The Minister of State for Youth and Children Affairs, Balaam Barugahara, highlighted that the informal sector includes many other groups such as tailors and artisans, and urged young people to continue supporting President Museveni’s leadership.
Meanwhile, the Chairperson of the Federation, Kamanyire Celestine, expressed gratitude to the President for recognising grassroots entrepreneurs. He requested the formal launch of the federation’s 850 SACCOs, a clear operational mandate, and assurance that each SACCO receives at least Shs100 million, noting that each SACCO has over 50 members.
He also appealed for the establishment of a common user facility to support the long-term growth of the salon industry.
