Researchers tip govt on internet infrastructure

Researchers have advised the government to provide adequate infrastructure for access to the internet in order to boost economic growth in the country.

The researchers from Makerere University pointed out that if e-commerce is to have a meaningful impact on business enterprises then there is a need to provide adequate information technology infrastructure.

"IT infrastructure is necessary for supporting business operations," Dr Hellen Namawejje, a lecturer at Makerere College of Business and Management Sciences said.

She pointed out that e-commerce has the potential to improve the efficiency and productivity of businesses.

"Absence of adequate basic infrastructure such as incubation centre, computer laboratories, low internet coverage and human resource to train and build the capacity of people in business cannot support the growth of e-commerce," she stated.

Namawejje made remarks during the release of findings on a study to examine factors influencing commercialisation of entrepreneurship ventures using e-commerce.

The study focused on the uptake of e-commerce among students at Makerere University and found that the uptake was high at 78% which was attributed to both partial and pure e-commerce.

She explained that when pure e-commerce was considered the proportion dropped to 10% while noting that the key drivers or facilitators of e-commerce uptake are having smartphones, access, and frequency of internet use.

Dr Patricia Ndugga another researcher stressed the need for the National Information Technology Authority to work together with the ministry of information and communication technology as well as public universities to provide subsidised or free internet.

"This will entail free Wi-Fi hotspots established across the universities and tertiary institutions campuses. It means that all public universities get connected onto the national backbone infrastructure to access subsidized internet provided by the government," Ndugga said.

Dr Proscovia Katumba emphasised the need to establish an entrepreneurship incubation centre at Makerere University to nurture student business ideas that can serve as a mentorship point for e-commerce.

The researchers identified key barriers to e-commerce uptake as lack of e-commerce knowledge, conservation among people, trust and cybersecurity issues, poor internet connections, high cost of internet, and lack of access to gadgets.

They urged the ministry of finance and the Uganda Revenue Authority as well as Parliament to review relevant taxes and drop the over the top tax (OTT) which has become a hindrance to promote/increase the e-commerce uptake.

"This will entail OTT and other taxes affecting access and usage of e-commerce in Uganda to be dropped," Dr Katumba stated.