Gender, ICT, and Micro-Loans for Small Business Operations in Ghana

Abstract

In many underserved communities in Sub-Saharan Africa (SSA), including those in Ghana, there are microfinance institutions (MFIs) that provide small non-collateralized loans (or micro-loans) to entrepreneurs, including women entrepreneurs. The micro-lending activities, especially those channeled through entrepreneurship programs, were reported as being helpful and allowed for financial inclusion. However, Anaman and Pobbi evaluated performance and reported that some of the MFIs were becoming a burden because of steep interest rate charges and loan default, raising a need for borrowers to use relevant information and communication technology (ICT) tools and services to support business operations. This chapter reports a study on the differences in attitudes of female versus male borrowers of micro-loans and their use of ICT to support small business operations in Ghana.