New Communication Technologies and Microfinance Banking in Nigeria: Critical Role of the Social Media

Abstract

Microfinance institutions provide support for the economically active poor, low income earners and small and medium scale entrepreneurs. Microfinance banking is the engine that powers socio-economic development in developing countries. In Nigeria, activities of microfinance banks are structured to touch the grassroots and contribute positively towards economic development of the nation. Communication is pivotal to the achievement of every development goal. Effective use of modern communication channels such as the social media could contribute positively towards achievement of microfinance banking goals in Nigeria. This study adopts the analytical approach in discussing the critical role of the social media in achieving microfinance banking goals in Nigeria. It explains the basic concepts that shape the discourse - New Communication Technologies, social media, and microfinance banking. The paper suggests among others, that mass enlightenment of targets of microfinance schemes (the poor, low income earners, micro, small and medium scale entrepreneurs) on how to access and use social media in airing their views on microfinance issues, is essential.