Dhaka Bank, PKSF partner to boost MSME financing

Dhaka Bank PLC has signed a credit guarantee agreement with Palli Karma-Sahayak Foundation (PKSF) under the Credit Enhancement Scheme (CES) to promote greater financial inclusion and expand access to finance for marginal, cottage, and micro enterprises across Bangladesh.

Md Hasan Khaled, deputy managing director of PKSF, and Md Mostaque Ahmed, deputy managing director of the bank, signed the agreement at the bank’s head office in Sher-e-Bangla Nagar, Agargaon, Dhaka, recently, according to a press release.

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Under the scheme, participating banks and financial institutions will be able to provide a total of Tk 2,800 crore in guaranteed loans to PKSF’s partner organisations (POs) and microfinance institutions (MFIs) during the fiscal year 2026-27.

PKSF will provide credit guarantee services to facilitate the financing, enabling the POs and MFIs to extend credit to microentrepreneurs across the country.

Supported by the Asian Development Bank (ADB), the initiative is expected to strengthen financial inclusion by expanding access to formal finance for underserved entrepreneurs, particularly in rural areas.

Among others, Md Fazlul Kader, managing director of PKSF; Md Mashiar Rahman and Akond Mohammad Rafiqul Islam, deputy managing directors; and Mohammad Mahbubur Rahman Palash, head of the micro, small, and medium enterprises and emerging business division at the bank, attended the signing ceremony, along with other senior officials from PKSF, Dhaka Bank PLC, and 11 other participating banks and financial institutions.