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Assessing the Readiness by SMEs and Financial Institutions in The Establishment of an Integrated ICT Infrastructure for Financial Transactions in Kenya

Received: 24 April 2013     Published: 30 May 2013
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Abstract

Small and Medium Enterprises (SMEs), mostly in the third world countries face many challenges in the management of finances; namely: the ability to determine daily net earnings after the daily ratios for recurrent monthly deductions such loan premiums and utility bills are made. The main reason is the lack of an elaborate information technology infrastructure that directly targets this vital economic sub-sector for linking it to the general infrastructure that administers other financial transactions. In this article, we report the findings of a research conducted in assessing the readiness of SMEs and the Kenyan financial institutions in the use of information technology to specifically address these challenges.

Published in International Journal of Intelligent Information Systems (Volume 2, Issue 2)
DOI 10.11648/j.ijiis.20130202.13
Page(s) 40-45
Creative Commons

This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.

Copyright

Copyright © The Author(s), 2013. Published by Science Publishing Group

Keywords

Information Technology, Sustainable Entrepreneurship, Financial Institutions, Small and Medium Enterprises

References
[1] Urve Venesaar and Piret Loomets. (2006). The Role of Entrepreneurship in Economic Development and Implications for SME Policy in Estonia. 14th Nordic Conference on Small Business Research, Stockholm, Sweden.
[2] Marion Mbogo. (2011). Influence of Managerial Accounting Skills on SME’s on the Success and Growth of Small and Medium Enterprises in Kenya. Journal of Language, Technology & Entrepreneurship in Africa Vol. 3 (1)
[3] Challenges Facing SMEs in Kenya. Workshop held at KICC (2012).
[4] Noel Tagoe, Ernest Nyarko, Ebenezer Anuwa-Amarh. (2005). Financial Challenges Facing Urban SMEs under Financial Sector Liberalization in Ghana. Journal of Small Business Management, Vol. (43)
[5] Organization for Economic Co-operation and Development Policy Brief (2006). Accessed from: http://www.oecd.org/dataoecd/53/27/37704120.pdf. Date: 13/03/2011
[6] Sanjay Sethi. (2011). micro, small and medium enterprises, government of Maharashtra, India. Financial times.
[7] Winifred Ambunya. (2012). Equity funds court. SMEs fleeing high interest rates.
[8] Vision 2030. Flagship projects. Accessed from: http://www.vision2030.go.ke/index.php/pillars/project/Economic/39. Date: 16/5/2011
[9] Making business loans a reality for micro and small enterprises in Kenya. Report by USAID Kenya (2010).
[10] Mobile money takes East Africa by storm. A report by micro-finance Africa (2012).
[11] Branchless Banking. A report by FSD-Kenya. (2009).
[12] Scaling Up ICT-Enabled Innovation & Entrepreneurship in Developing Countries: The Role of Private Sector Finance. Accessed from: http://www.infodev.org/en/Project.28.html. Date: 21/04/2011
[13] Micro, Small and Medium-Sized Enterprises Strategy. Document of the European Bank for Reconstruction and Development. (2006)
[14] Richard Duncombe and Richard Heeks (2005). Information & Communication Technologies (ICTs), Poverty Reduction and Micro, Small & Medium-scale Enterprises (MSMEs). A framework for understanding ICT applications for MSMEs in developing countries
[15] IT-Enabling Services (ITES) Industry Support Sub-Component. An ICT-based SME model by GoG. Retrieved from: http://www.ites.gov.gh/IT-Industry.aspx. Date: 01/12/2011
[16] Debasish Maitra.(2010). SME & Technology-A New Business Metric
[17] Promoting Public-Private Partnerships: An innovative business model to foster pro-poor growth through Information and Communication Technology (ICT). UNIDO-Microsoft report (2008)
[18] Roberto Zavatta. (2008). Financing Technology Enterpreneurs & SMES in Developing Countries: Challenges and Opportunities. An infoDev publication
[19] Rebecca Wanjiku. (2008). Kenyan bank launches online banking. IDG News Service, Nairobi Bureau.
[20] Richard Nyangosi. (2008). E-Banking: An Integration Technology in Kenya.
[21] Isaac Awuondo. (2006). e-Banking in Kenya: Practical lessons to be drawn
[22] Malek AL-Majali. (2011). Modeling the antecedents of internet banking service adoption (IBSA) in Jordan: A Structural Equation Modeling (SEM) approach
[23] Azyanee Luqman. (2011). E-business Adoption amongst SMEs: A Structural Equation Modeling Approach. Journal of Internet Banking and Commerce. vol. 16 (2)
Cite This Article
  • APA Style

    M. Achieng. (2013). Assessing the Readiness by SMEs and Financial Institutions in The Establishment of an Integrated ICT Infrastructure for Financial Transactions in Kenya. International Journal of Intelligent Information Systems, 2(2), 40-45. https://doi.org/10.11648/j.ijiis.20130202.13

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    ACS Style

    M. Achieng. Assessing the Readiness by SMEs and Financial Institutions in The Establishment of an Integrated ICT Infrastructure for Financial Transactions in Kenya. Int. J. Intell. Inf. Syst. 2013, 2(2), 40-45. doi: 10.11648/j.ijiis.20130202.13

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    AMA Style

    M. Achieng. Assessing the Readiness by SMEs and Financial Institutions in The Establishment of an Integrated ICT Infrastructure for Financial Transactions in Kenya. Int J Intell Inf Syst. 2013;2(2):40-45. doi: 10.11648/j.ijiis.20130202.13

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  • @article{10.11648/j.ijiis.20130202.13,
      author = {M. Achieng},
      title = {Assessing the Readiness by SMEs and Financial Institutions in The Establishment of an Integrated ICT Infrastructure for Financial Transactions in Kenya},
      journal = {International Journal of Intelligent Information Systems},
      volume = {2},
      number = {2},
      pages = {40-45},
      doi = {10.11648/j.ijiis.20130202.13},
      url = {https://doi.org/10.11648/j.ijiis.20130202.13},
      eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijiis.20130202.13},
      abstract = {Small and Medium Enterprises (SMEs), mostly in the third world countries face many challenges in the management of finances; namely: the ability to determine daily net earnings after the daily ratios for recurrent monthly deductions such loan premiums and utility bills are made. The main reason is the lack of an elaborate information technology infrastructure that directly targets this vital economic sub-sector for linking it to the general infrastructure that administers other financial transactions. In this article, we report the findings of a research conducted in assessing the readiness of SMEs and the Kenyan financial institutions in the use of information technology to specifically address these challenges.},
     year = {2013}
    }
    

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    AB  - Small and Medium Enterprises (SMEs), mostly in the third world countries face many challenges in the management of finances; namely: the ability to determine daily net earnings after the daily ratios for recurrent monthly deductions such loan premiums and utility bills are made. The main reason is the lack of an elaborate information technology infrastructure that directly targets this vital economic sub-sector for linking it to the general infrastructure that administers other financial transactions. In this article, we report the findings of a research conducted in assessing the readiness of SMEs and the Kenyan financial institutions in the use of information technology to specifically address these challenges.
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Author Information
  • School of Pure & Applied Sciences, Karatina University, Karatina, Kenya

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