Microfinance institutions (MFIs) are always often faced with high operating costs to provide financial services to the poor people and Small and Medium Enterprises. Information and Communication Technologies (ICTs) has been found to promote the dual objective of microfinance - sustainability and outreach to the poor people. Using a quantitative survey and descriptive research approach, this paper has established the extent to which ICT has been used in the microfinance institutions in Uganda. Despite the barriers, ICT usage in MFIs has been on the rise; and different applications and technologies have been adopted by some MFIs to control costs, create efficiency and effectiveness in their operations, improve productivity, and increase outreach to the poor. Available ICT policies such as tax exemption on computer hardware are not sufficient to achieve the desired growth. Therefore the need for progressive policies that relate to ICT-based services and software to accelerate ICT usage especially in MFIs. The paper has provided a benchmark that can be used for further research especially in developing countries.
Ssewanyana, Joseph Kaumba
"ICT Usage in Microfinance Institutions in Uganda,"
The African Journal of Information Systems:
3, Article 3.
Available at: http://digitalcommons.kennesaw.edu/ajis/vol1/iss3/3