Since its February 2022 launch, the Parish Development Model (PDM) has raised hopes across Uganda. This flagship programme aims to shift 39% of households from subsistence to a money-based economy.
Each subsistence household in an enterprise group or Parish PDM SACCO has received UGX 1 million on a two-year grace period, and 6% annual interest. Most funds target agricultural enterprises. Across Ugandan villages, most people have received the cash.
But PDM is not just about handing out money. If money alone could end poverty, Uganda would already be among Africa’s wealthiest nations, given that similar programs such as Entandikwa, NAADS, Youth Livelihood Fund, and Operation Wealth Creation that came before it. Cash is only one piece of the puzzle. Transformation depends on access to land, skills, quality inputs, market access, and the ability to overcome deep-rooted structural challenges—especially in agriculture, which remains largely rain-fed.
The hidden crisis is land pressure and fragmentation.One of the most urgent yet under-discussed crises facing PDM beneficiaries is the issue of land tenure security and land pressure. Land is a fundamental resource underpinning agricultural production and is vital for economic growth and investment, especially of farm enterprises.
According to a 2024 Uganda Bureau of Statistics (UBoS) report, only 58% of adults have secure land tenure, with just 17% owning agricultural land. Uganda’s 2.9% population growth rate is among the highest globally, contributing to land fragmentation, particularly in rural areas. With a population density of 190 people per square kilometre, pressure on land is mounting. As a result, households cultivate smaller plots, and in many parishes, farmland is overused or no longer viable for sustained production.
Farmers are cultivating land continuously, depleting soil fertility. Although UBoS reports an average household size of 4.2 acres, some families of up to ten survive on less than half an acre. Land that once produced both food and cash crops is now depleted and yields little. Small parcels hinder the adoption of modern farming practices that could transform production into profitable enterprises, creating a major contradiction to the PDM’s goals. If the land cannot sustain productive agriculture, the loan will struggle to generate returns.
The Struggle to Stay Productive
With soils depleted, farmers are turning to fertilisers, pesticides, and herbicides. But the market is flooded with unregulated counterfeit, overpriced products, often misused due to inadequate training. The result is poor yields, environmental damage, health risks, and unsustainable farming. Farmers spend more on soil fertility, pests, and weeds, yet harvests remain low—trapping low-income households who hoped PDM would lift them from poverty. The belief that UGX 1 million guarantees success ignores land shortages. True agricultural growth will depend on land security, good inputs, knowledge, infrastructure, and markets.
For the PDM to succeed, loans must be seen to build lasting productivity, not an end. The Presidential Four-Acre Model suggests one acre each for cash crops, food, pasture/dairy, and fruit trees. Yet many beneficiaries have under two acres, some less than one. Their success depends on making small plots highly productive through smart enterprise choices and sustainable practices.
What needs to change
Match enterprises to land size by replacing one-size-fits-all with support tailored to land, soil, and market conditions. Boost small-plot productivity with high-value, space-efficient enterprises like poultry, mushrooms, vegetables, and zero-grazing dairy, backed by quality inputs, irrigation, and skills training.
Regulate agro-inputs and train farmers to enforce strict quality standards for fertilisers and pesticides and provide training to ensure safe and effective use. Support soil fertility and land management by encouraging organic farming, certified compost, biofertilizers, and water harvesting.
Make agricultural extension central to PDM with trained agricultural officers in every parish to give farmers guidance beyond the initial disbursement.
The PDM bold ideas require planning, context, and follow-through. It should never be about asking, “Have people received the money?” but rather, “Do they have what they need to succeed with it?”
Mary Kajumba is a research associate at Economic Policy Research Centre
This article was originally published by Daily Monitor on October 13, 2025
