Kabarole Youth Gain Skills, But Tax Burdens Hinder Business Growth

More than 260 young people in Kabarole have gained vocational skills through a project aimed at reducing unemployment, but rising taxes threaten their fledgling businesses, according to stakeholders.

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Nyakundi Report

Newsroom 3 min read

Primary source Nile Post

A youth development initiative in Kabarole District has equipped over 260 young people with practical skills, offering a pathway to self-employment and entrepreneurship. The program, implemented by the Joint Efforts to Save the Environment (JESE) with support from Welthungerhilfe and funding from the German Federal Ministry for Economic Cooperation and Development (BMZ), focuses on sectors like hairdressing, welding, and photography. Launched in 2024, the Integrated Learning and Skills Development Project uses the SkillUp approach to train beneficiaries from Kyenjojo, Bunyangabu, and Fort Portal, aiming to address high youth unemployment and foster economic independence.

David Kato, a photography and videography trainee from Fort Portal, credited the program with transforming his career prospects but highlighted financial hurdles. "The training gave me a new direction, but the business is still growing. I’m struggling to pay rent and taxes, which make it harder to expand," he said. Similar challenges were reported by other beneficiaries, including welders and hairdressers, who face difficulties balancing operational costs with tax obligations.

SkillUp Project Coordinator Alex emphasized that many young entrepreneurs are in the early stages of business development and require temporary relief to stabilize. "They need time to become sustainable before meeting full tax requirements," Alex stated. This concern was raised during a stakeholders’ meeting in Bunyangabu and Fort Portal, where local leaders, project teams, and government representatives discussed strategies to sustain the program’s impact.

Bunyangabu Senior Community Development Officer Maxwell urged JESE to share a database of trained youth with district offices, enabling targeted support. "Access to this information would help us identify beneficiaries and link them to opportunities," he said. Meanwhile, Acting Kabarole Chief Administrative Officer Winnie Alinda called for increased youth registration of National Identification Cards to facilitate access to government programs.

The meeting underscored the need to shift from skill acquisition to creating an ecosystem that supports business growth. Stakeholders emphasized collaboration between local governments, private-sector actors, and development organizations to improve market access and business resources for young entrepreneurs.

Despite challenges, the project has already provided an alternative to formal employment for many participants. However, beneficiaries stress that sustained support—such as tax incentives and infrastructure development—is critical to ensuring their enterprises thrive. The initiative highlights the potential of vocational training to drive economic resilience, while also exposing gaps in post-training support systems.

The debate over taxation and enterprise sustainability reflects broader tensions between youth empowerment and fiscal policy. As Kabarole’s young entrepreneurs navigate these obstacles, their success will depend on adaptive policies that balance economic growth with the realities of emerging businesses.

The SkillUp program’s dual focus on skill development and systemic support offers a model for addressing youth unemployment, but its long-term impact hinges on addressing structural barriers like taxation and access to resources. Stakeholders agree that continued dialogue and policy adjustments are essential to turning vocational training into lasting economic opportunity.

The project’s success in equipping youth with marketable skills demonstrates the value of targeted interventions, but the voices of beneficiaries like Kato reveal the urgent need for policies that align with the realities of small-scale enterprise growth. Without such measures, the promise of self-employment may remain out of reach for many.

The stakeholders’ engagement in Bunyangabu and Fort Portal marked a pivotal step in redefining the role of skills training in economic development. By prioritizing both skill acquisition and post-training support, the initiative aims to transform Kabarole’s youth into sustainable contributors to the local economy.

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