Up to the early 1990s, Uganda’s financial structure was characterised by government controls and instability, leading to financial repression and lack of development in the…
Abstract
Up to the early 1990s, Uganda’s financial structure was characterised by government controls and instability, leading to financial repression and lack of development in the sector. The sector was, as a consequence, dominated by commercial banks, which are mainly concentrated in urban areas. Financial intermediation was restricted to the mobilisation of short‐term savings and advancing credit to low‐risk businesses with quick returns. In 1993, The Bank of Uganda Statute and The Financial Institutions Statute were passed by Parliament, requiring, among other things, commercial banks operating in Uganda to have a minimum paid up capital of Uganda shillings (Ushs) 500,000 (for the locally‐owned banks) and Ushs 1bn (for the foreign‐owned banks). The new capital requirements were made effective from the end of December, 1996. Between 1998 and 1999, however, four commercial banks (three of them locally owned), were closed because of insolvency originating from a number of causes. It is not clear whether the new capital requirements played a part in setting off or precipitating the crisis. The results of this study show that whereas there was impressive improvement for the banking system as a whole, it seems that these new guidelines had a different impact on foreignowned and locally‐owned commercial banks. Performance of the foreign banks remained quite steady or even rapidly improved while the local banks suffered massive declines in their profitability and accumulated more non‐performing loans.
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The purpose of this paper is to explore what determines the loan size/demand in a micro-finance group and makes comparative account of self-help groups and joint liability groups.
Abstract
Purpose
The purpose of this paper is to explore what determines the loan size/demand in a micro-finance group and makes comparative account of self-help groups and joint liability groups.
Design/methodology/approach
Using primary data and carried out survey (questionnaire and focus group discussion) for data collection. While for econometrics OLS regression has been used.
Findings
The study finds that employment, landownership and years spent by members in group has positive impact on loan demand by micro finance borrowers.
Research limitations/implications
This study points out the fact that economic variables along with group characteristics has positive implication on loan demand by borrowers.
Practical implications
This study would propel further research in group dynamics in micro-finance area.
Social implications
This study attempts to bring out the fact that economic position of micro-finance members along with its group status has bearing on its loan demand position.
Originality/value
The authors conducted this study using primary data, and all the collected data and study bring out the fact that older membership in groups are positive for loan demand by borrowers.
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Shekhar Kumar Sinha, Sandip Mukhopadhyay, Parijat Upadhyay, Yogesh K. Dwivedi, Subhajit Bhattacharyya, Manas Paul and Amrita K. Bhattacharyy
Legacy organizations, particularly government departments, have always remained focused on technology acquisition at a low cost. However, they must balance their quest for better…
Abstract
Purpose
Legacy organizations, particularly government departments, have always remained focused on technology acquisition at a low cost. However, they must balance their quest for better financial performance with a commitment to social obligations and inclusiveness. This study aims to analyze the issues faced by a public sector department, India Post, in its digitization process.
Design/methodology/approach
This study takes a case-based approach to analyze India Post’s digitization journey through the theoretical prism of the technology, organization and environment framework.
Findings
The organization’s ability to benefit from innovative technology is constrained by its outdated structure and business processes. The other constraints include the limited technological know-how within the organization and the lack of intricate organizational process knowledge of today’s vendors.
Practical implications
This study portends important implications for policymakers and provides a base for several inquiries for future research. This study attempted to identify the facilitators and inhibitors of digitization initiatives of a legacy government organization with extensive outreach in rural economy which policymakers can consider while rolling out digitization initiatives for public sector organizations.
Originality/value
There are very few studies available as published literature which examined the digitization journey of a legacy government organization in a developing economy. To the best of the authors’ knowledge, there was no published literature available on India Post’s digital transformation process.
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Matthew S. Winters, Paul Testa and Mark M. Fredrickson
In observational data, access to information is associated with lower levels of corruption. This chapter reviews a small but growing body of work that uses field experiments to…
Abstract
In observational data, access to information is associated with lower levels of corruption. This chapter reviews a small but growing body of work that uses field experiments to explore the mechanisms behind this relationship. We present a typology for understanding this research based on the type of corruption being addressed (political vs. bureaucratic), the mechanism for accountability (retrospective vs. prospective), and the nature of the information provided (factual vs. prescriptive). We describe some of the tradeoffs involved in design decisions for such experiments and suggest directions for future research.
George Okello Candiya Bongomin, Joseph Mpeera Ntayi and John Munene
The purpose of this paper is to examine institutional frames for financial inclusion of poor households in a Sub-Saharan Africa context and provide policy implications in solving…
Abstract
Purpose
The purpose of this paper is to examine institutional frames for financial inclusion of poor households in a Sub-Saharan Africa context and provide policy implications in solving the persistent problem of limited inclusion of poor households into mainstream formal financial services in Uganda.
Design/methodology/approach
Cross-sectional research design was used in this study. Data were collected from a randomly selected sample of 200 poor households located in Mukono District. Statistical program for Social Scientists and Analysis of Moment Structures were used to generate results.
Findings
Results have revealed the presence of regulative, normative, and procedural and declarative cognitive institutional frames, which affect financial inclusion of poor households in rural rural Uganda. The findings and policy implications are discussed in detail in the paper.
Originality/value
This study parallels the World Bank Global Findex survey (2012) on general aspects of financial inclusion around the world. It examines frames, which structure behaviours and actions of poor households towards their financial decisions and choices in attempting to improve financial inclusion with a major focus on rural Uganda.