Unravelling Development Capabilities Enhanced by ICT in Informal Micro-Finance Settings. Case of Women Village Banks in Blantyre, Malawi

Abstract

This was a qualitative research aiming at exploring the development capabilities enhanced by Information and Communication Technology (ICT) in informal micro finance setting. It was conducted in four townships around Blantyre, Malawi using Village Banks as a case. Questionnaires, observations and secondary literature were used as data gathering techniques. Guided by Sen’s Capability Approach and Castell’s Social Networks theory, a thematic data analysis was used and the study revealed that by facilitating information and knowledge sharing between informal groups and formal commercial service providers, there is a capability that members of the informal groups can transform into serious investors from which they can realise sound development through investment of their groups savings into different sectors from stock exchange to estate management. It also revealed the potential of inclusion of lower income members of society into investments which have for a long time been regarded as only for the few elite individuals.