Implementing Point of Sale Technology in Microfinance

Adoption of Information Technology (IT) in Microfinance Institutes (MFIs) has become one of the key indicators to ensure good governance and transparency to the stakeholders. Though the cost of investment in IT is a matter of concern, it has manifold benefit ranging from productivity improvement to socio economic development of the target clients. This chapter focuses on the adoption of IT in MFIs and its possible benefits in operation, cost reduction and stakeholder relationship through an evaluation of a small-scale MFI, Come to Save (CTS), operating in Bangladesh. This chapter reinforces that timely implementation of IT reduces cost of operation, attains economies of scale and increases outreach through increased staff productivity.