This study examined rural MSMEs participation in digital economy and the challenges encountered. the study revealed that MSMEs in rural area had 57% participated in digital economy. The challenges limiting MSMEs participation in digital economy were found to be lack of digital marketing skills, high cost of data, poor network availability, high cost of digital tools, constantly changing technologies and high cost of training on digitization. The potential of participations is quite high as internet savvy ability, ownership of personal computer and a smart phone were at appreciable means levels. The study concluded that rural MSMEs participate averagely in digital economy and recommended that data which is the oil that drive digital economy should be subsidize by the government in order to make it affordable for rural MSMEs, good networking unfractured should be installed in rural communities to encourage digital economy participation and rural inclusion and free digital training skills should be organized for rural MSMEs owners by the government and Non- Governmental organizations (NGOs) to improve digital proficiency of market players (MSMEs).
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