Business: KACITA Requests Central Bank to Reduce Interest on Loans

On Jul 12, 2022

By: Kyeyune Ali

The current economic crisis in the country due to a number of unsolved matters and the after COVID pandemic put a number of businesses at the edge of collapsing.

On Monday, Kampala City Traders Association (KACITA) acting chairman Musoke Thadius asked the Central Bank to reduce on the high interest rates on loans if the businesses in the country are to stand against the current crisis.

While addressing media on Monday in Kampala, the acting chairman Thadeus Musoke Nagenda asserts that most people are losing their property due to failure to beat loan obligations.

After the outbreak of COVID-19 in 2020, most businesses came to stand still and others collapsed away.

KACITA called upon to whom it may concern in the government to come up with directives to finance institutions which lend business men to reduce on the interest rates because high interest rates resulted into failure to beat the loan obligations and property are being taken away by the bank.

He adds that in most cases, loans are secured to sustain and maintain a business however, considering the current economic situation, loans have become a problem to people in the business community leaving most of them totally bankrupt and out of business.

Musoke has also expressed grief over another tax burden which has continuously been imposed on the already limping business which has ultimately forced many to close down and rendered unemployed.