By Sight Akatukunda

Erika Muhima, 81, of Nturagi village, Kyabando Parish, Kasambya, Kakumiro district has benefited from the Senior Citizens Grant (SCG) under the Senior Assistance Grant for Empowerment (SAGE) scheme, since 2017. Using the grant, he constructed a 3 roomed structure, part of which he rents out at a monthly fee of shs.25,000. In anticipation of more cash in a couple of weeks, Muhima plans to start a poultry farm.

For Hellen Akwir, 83, of Achingi parish, Abongomola, Kwania district, the grant she has received since 2013 has aided her to hire labour and till her land for crop production. Akwir uses part of the sales from the produce to access medical services and pay fees for her school-going grandchildren. She is grateful to the government for the initiative, as she no longer has to wait on handouts from her children who have to fend for their own families. Asked what would happen if the Government scraped the grant, astonishingly she says, “…Unless you want to hear the bad news. God forbid”.

Piloted in 2010 in 15 districts, targeting older persons aged 65 years (and 60 for Karamoja) at that time, the SAGE scheme, now a national programme has become a prominent feature of the social protection sector in Uganda. Under the SAGE, Government provides the Senior Citizens Grant (SCG), direct income support of Ushs.25,000 per month to older persons, to provide income security through regular and reliable cash transfers.

Currently benefiting 306,759 older persons across the country,  the Senior Citizens Grant is one of the most successful direct cash transfer mechanisms by the Government that have demonstrated the importance of social protection in reducing poverty and vulnerability, as well as supporting excluded citizens in accessing social services.

The Government of Uganda recognizes that social protection is a critical prerequisite for achieving national development goals (NSSP, 2015). The reliability and predictability of the grant have provided evidence of social-economic empowerment, contributing greatly to human capital development. Ultimately, human capital development contributes to the NDPIII goal of increased household incomes and quality of life through increased productivity, inclusiveness and well-being of the population.

The Sustainable Development Goal (SDG) number one aims at eradicating extreme poverty and implementing appropriate social protection systems to achieve substantial coverage of vulnerable groups by 2030. Vulnerability however remains high among people at all stages of the life cycle, worsened by the prevalent covariate shocks such as drought, floods, landslides and pandemics.

In Uganda, statistics of older persons indicate that the numbers increased from 1.1 million in 2002 to 1.4 million in 2014 (4.1% of the population) projected at 1.7 million in 2021 and 2.3 million by 2030 (UBOS 2016).  Even with such alarming projections, many still survive without access to pensions and therefore have no choice but to continue working into older age, while engaging in small-scale businesses with very low earnings from farming or petty trade. The situation is worse for those who have disabilities or are infirm, and unable to work. Without reliable incomes, older persons lead extreme lives on the verge of poverty.

Social grants, therefore, are believably dependable safeguards that can cushion the vulnerable, including older persons, from challenges that come with the incapacity to actively engage in large-scale income-generating activities. The grants have great potential to reduce poverty, improve older people's access to healthcare and restore dignity through financial independence.

It is therefore vital that Government considers finding the fiscal space and identifying additional revenue sources to grow the country’s ability to sustain the Senior Citizens Grant. And this is why;

1. The Constitution of Uganda under its National Objectives and Directive Principles of State Policy stipulates that “The State shall make reasonable provision for the welfare and maintenance of the Aged.” Chapter 4 of Uganda’s Constitution specifies the rights and freedoms every Ugandan should enjoy, including the right to the basics of life and a life of dignity.
2. There has been a significant increase in savings and investment amongst grant beneficiaries; access to micro-credit and productive investments, leading to the accumulation of assets and improved income security in the long term. Ultimately, impacts on poverty have been substantial, reducing the gap by 11% among beneficiary households.
3. Findings from SAGE Beneficiary Surveys revealed that the average family size is 4.5 persons per household. The grant therefore indirectly impacts almost five persons in the benefiting homes and is the foundation for more income-generating ventures.
4. Results also showed that the grant is handy in helping beneficiaries to sustain livelihoods and have access to basic needs in life. The bulk of the beneficiaries interviewed specified that they use the grant to buy food (88.9%), access medical care (57.8%) and hygiene and buy livestock, both at (27%). Another 16.8% confirmed spending the grant on education, translating into positive benefits for children, with improved education outcomes and a reduction in child labour.
5. Another 35% said they had no one to turn to, in the absence or delay of the Senior Citizens Grant while 54% said they would turn to their children and relatives for support, whose livelihoods were grossly affected by the pandemic, reducing their capacity to sustain provision for their aged parents.

Due to Uganda’s chronic mass-based poverty and large social deficits, there is a dire need for dynamic social protection arrangements that will significantly contribute to poverty reduction and build resilience to life shocks. Social protection for the elderly, therefore, should not be considered a cost to Government, but rather an investment to improve human capital and enhance economic growth. 

The prevailing economic situations notwithstanding, it is critical that Government makes deliberate efforts and consolidates the budget to increase funding for the SAGE, given the evident impact on improved welfare of older persons. 

The great gains realized over the 12 years of SAGE Programme implementation ought to be sustained to achieve continued food security, good health, social inclusion and well-being of older persons and their households.

The writer is a senior programme officer, communications, SAGE programme, Ministry of Gender, Labour and Social Development