Preliminary Investigation of Financial Technology and Financial Information System in Microfinance Institutions

Abstract

This study is undertaken for preliminary investigation of Financial Technology (Fintech) and Financial Inofrmation System (FIS) in Microfinance Institutions, providing their products/services in Pakistan. Fintech and FIS could increase financial service delivery and operational efficiency, but there are very few studies who addressed this important issue in MFIs especially in the local setting of Pakistan. It was based on in-depth qualitative research through semi-structured interviews and focus groups of relevant experts, pratitioners and professionals to analyze data by NVivo 15. Results revealed several determinants of Fintech including perceived-usefulness, ease of use, security, risk, technological readiness, innovation, and digital finance. Moreover, FIS is the composition of ICT, quality of information system, service, compatibility & agility, Transaction processing, Financial reporting, ERP and Decision Support etc. in MFIs. MFIs should increases security, innovative culture, employees empowerment, technology, and develop strategies to increase digital adoption for better performance.