Uganda: Online Trade Staggers As Banks Shun Credit Cards - AllAfrica.com

Ismail-Musa LaduKampala

Shopping from the convenience of personal computing machines is increasingly becoming a manner of modern life but for many Ugandans purchasing or merchandising commodity online stays an elusive practice.

Although the pattern is meant to supply consumers with an effortless shopping option the trifles involving the demand for a computer, and efficient payment system, and cognition of cyberspace usage are just some of the intimidating hurdling that have got pegged the growing of online shopping in Uganda.

"Most Ugandans still prefer going to the store to purchase every little thing," Mister Henry Martin Robert Katuntu, the managing manager of I cognize Uganda, said. He said: "At least 90 per cent of our clients are Ugandans abroad and not Ugandans here".

In August, I-Care Uganda, an online shopping and bringing service supplier launched a website to assist consumer make concern online. However, according to Mister Katuntu the service have got got been used more than by Ugandans life abroad than those in the country.

Mr Katuntu imputes the deficiency of local clients to low Internet connexion and fiscal establishment inabilities to come up up with chemical mechanism that tin accelerate transactions.

"Banks should give users recognition card installations like the 1s abroad to ease E-commerce [online shopping]," he said.

The impulse created at the launch of the website and service have not followed through as was expected even if chances for growing abound as Ugandans get to follow IT related transaction.

Not many Sir Joseph Banks in Republic Of Republic Of Republic Of Republic Of Uganda offering recognition card installations and the existent 1s have rigorous business relationship balance demands for a card holder to have such as an business relationship and to consequence an online transaction.

Of the 14 Banks operating in Uganda only Barclays Sir Joseph Banks offers recognition card game to prestige-banking customers.

That do the service - at least for now - and the ability to transact online shopping a continue for the rich.

Mr Katuntu also reasons that Ugandans are pessimistic about online shopping because of fraud and security related issues affecting the service.

"There were efforts to victimize us but we have always outsourced these online criminals, we are well protected," he said.

He said online shopping is new in Uganda "so people are still not certain about it [yet] in other portion of the human race this is the usual mode to go".

At the launch in August the company promised that Ugandans in the Diaspora could shop online for their loved 1s in Uganda, in a convenient and unafraid manner.

The company have since expanded from just enabling clients to purchase and direct airtime and shopping verifiers to relations and friends to paying schools fees online.

"We started with air clip and shopping verifiers but now people are paying school fees with our online shopping services. We have got also expanded in fine art and crafts, Ugandan music CDs and even coffee," he said.

Because of the low cyberspace web connexion the Icareug.com accepts telephone set transactions. "We can also present on order by just calling us up" he said.

For online shopping service providers, Ugandans life abroad are the chief clients.

"It will be difficult for us to be in concern without Ugandans abroad," Mister Katuntu said.

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National Housing and Construction Company (NHCC) have got also introduced online investing enterprises for existent estate.

NHCC Head Executive Military Officer Chief Joseph Kitamirike recently said at a mathematical function to establish the Shs3 billion less Lubowa estates in Capital Of Uganda that purchasers will have the option on what have and interior designings to be included in their new home.

Mr Kitamirike said upon completion of contract procedures, a purchaser can electronically do online payments and mark the committedness letter.