Dairy-Horticulture Credit Limited (DHCL) | Agricultural Finance and Financial Inclusion Programme (2023–2026)
Between 2023 and 2026, the South Eastern Private Sector Promotion Enterprise Limited (SEPSPEL) has been providing technical assistance and institutional strengthening support to Dairy-Horticulture Credit Limited (DHCL), a specialized agricultural finance facility managed by PCP Uganda Ltd and supported by the Embassy of the Kingdom of the Netherlands (EKN).
The programme aims to expand access to affordable and appropriate financial services for smallholder farmers engaged in Uganda’s dairy and horticulture value chains by strengthening the capacity of Savings and Credit Cooperative Organizations (SACCOs), Microfinance Institutions (MFIs), farmer organizations, and agribusiness enterprises.
SEPSPEL has played a strategic role in supporting DHCL to establish sustainable agricultural finance systems, strengthen partner institutions, improve product delivery, and increase outreach to underserved rural communities.
Project Coverage
The programme has been implemented across the:
- Elgon Region
- Central Region
- Kigezi Region
- Rwenzori Region
Working with 58 SACCOs and Microfinance Institutions (MFIs) serving thousands of smallholder dairy and horticulture farmers.
Project Goal
To strengthen agricultural finance systems and improve access to financial services for smallholder farmers through institutional development, product innovation, digitalization, and capacity building of rural financial institutions.
SEPSPEL’s Key Contributions
1. SACCO and MFI Assessment
SEPSPEL conducted comprehensive institutional assessments and market studies covering 58 SACCOs and MFIs to determine their readiness for agricultural financing and identify opportunities for growth and sustainability.
2. Development of Agricultural Financial Products
SEPSPEL designed and developed customized financial products tailored to the needs of dairy and horticulture value chain actors.
The assignment involved:
- Product research and market analysis
- Product concept development
- Product refinement and customization
- Product testing and validation
- Development of operational guidelines
- Agricultural loan product design
- Value chain-specific financing models
A total of 58 SACCOs and MFIs were supported to develop and strengthen demand-driven agricultural financial products targeting smallholder farmers, agribusiness enterprises, and producer organizations.
3. Design and Development of Management Information Systems (MIS)
SEPSPEL supported the design and strengthening of digital Management Information Systems (MIS) to improve institutional efficiency, portfolio monitoring, reporting, and decision-making.
Support included:
- Product coding and integration
- Agricultural loan tracking systems
- Portfolio monitoring frameworks
- Reporting dashboards
- Digital financial service integration
- Performance management systems
The interventions enhanced the ability of SACCOs and MFIs to effectively manage agricultural loan portfolios and improve service delivery to rural clients.
4. Capacity Building and Institutional Strengthening
SEPSPEL delivered customized capacity-building programmes for:
- SACCO Boards of Directors
- Management Committees
- Credit Officers
- Loan Committees
- Supervisory Committees
- Microfinance Institutions
- Small and Medium Enterprises (SMEs)
- Farmer Organizations
Training areas included:
- Agricultural lending methodologies
- Credit appraisal and risk management
- Delinquency management
- Financial literacy
- Governance and leadership
- Enterprise development
- Business planning
- Product marketing
- Customer service
- Digital financial services
- Portfolio monitoring and reporting
5. Policy and Operations Manual Development
SEPSPEL supported DHCL and partner institutions in developing and strengthening key operational and governance frameworks.
These included:
- Credit Policy Manuals
- Agricultural Lending Manuals
- Risk Management Frameworks
- Delinquency Management Frameworks
- Product Operational Manuals
- Governance and Institutional Development Guidelines
- Monitoring and Evaluation Frameworks
- Institutional Operating Procedures
These systems strengthened compliance, governance, accountability, and operational effectiveness across partner institutions.
6. Agricultural Finance Ecosystem Development
SEPSPEL facilitated linkages between:
- SACCOs
- MFIs
- Farmer Organizations
- Input Suppliers
- Agribusiness SMEs
- Dairy Farmers
- Horticulture Farmers
- Development Partners
- Financial Service Providers
This strengthened market systems and improved access to financial and business development services.
Key Results
Through this programme, SEPSPEL has:
- Assessed and strengthened 58 SACCOs and MFIs.
- Designed and developed customized agricultural finance products.
- Supported the development and strengthening of MIS systems.
- Built the capacity of SACCOs, MFIs, SMEs, and farmer organizations.
- Developed operational, credit, and risk management policy manuals.
- Strengthened governance and institutional performance.
- Improved agricultural lending systems for dairy and horticulture value chains.
- Enhanced financial inclusion among smallholder farmers.
- Contributed to increased access to finance for rural agricultural enterprises.
Project Information
| Item | Details |
| Project | Dairy-Horticulture Credit Limited (DHCL) Agricultural Finance Programme |
| Client | Dairy-Horticulture Credit Limited (DHCL) |
| Funding Partner | Embassy of the Kingdom of the Netherlands (EKN) |
| Implementing Organization | South Eastern Private Sector Promotion Enterprise Limited (SEPSPEL) |
| Period | 2023 – 2026 |
| Coverage | Elgon, Central, Kigezi and Rwenzori Regions |
| Institutions Supported | 58 SACCOs and MFIs |
| Key Areas | Agricultural Finance, Product Development, MIS Design, Capacity Building, Policy Development, Financial Inclusion, SME Development |
Impact Statement
Through its partnership with DHCL, SEPSPEL is contributing to the transformation of Uganda’s agricultural finance landscape by strengthening rural financial institutions, expanding access to finance, enhancing digital systems, and empowering thousands of smallholder farmers, SMEs, and agribusiness enterprises to participate more effectively in the dairy and horticulture value chains.