Dhaka: Palli Karma-Sahayak Foundation (PKSF) has entered into five separate Credit Guarantee Agreements with Jamuna Bank PLC, Commercial Bank of Ceylon PLC, Trust Bank PLC, Mercantile Bank PLC, and NCC Bank PLC as part of its ongoing Credit Enhancement Scheme (CES). Under these agreements, the banks will collectively provide Tk 1,000 crore in guaranteed loans to PKSF’s Partner Organizations.
According to United News of Bangladesh, the signing ceremony took place at PKSF Bhaban-1 in Agargaon, Dhaka. Md. Fazlul Kader, Managing Director of PKSF, signed the agreements on behalf of the foundation. Representatives from the respective banks, including Ahsan Zaman Chowdhury, Managing Director and CEO of Trust Bank PLC; Haily Algewatte, Deputy CEO and Chief Operating Officer of Commercial Bank of Ceylon PLC; Mohammad Jahangir Alam, Deputy Managing Director of Jamuna Bank PLC; Md Habibur Rahman, Deputy Managing Director of NCC Bank PLC; and Md Zakir Hossain, Deputy Managing Director of Mercantile Bank PLC, also signed the agreements.
Md Fazlul Kader stated that PKSF aims to transform low-income individuals into entrepreneurs. He explained that the Credit Enhancement Scheme has been introduced to formally engage commercial banks. This scheme enables PKSF’s Partner Organizations to receive loans from banks and disburse them to eligible clients, with PKSF providing guarantees against the credit risk at the bank level.
The Credit Enhancement Scheme, supported financially and technically by the Asian Development Bank (ADB), seeks to promote inclusive economic growth through the expansion and productivity enhancement of the microenterprise sector. PKSF will share the lending risk by providing guarantees to banks and financial institutions that extend loans to its Partner Organizations.
Previously, on 24 May 2025, PKSF launched the country’s first Credit Enhancement Scheme and signed Credit Guarantee Agreements amounting to BDT 3,150 crore with several other financial institutions, including BRAC Bank, City Bank, Prime Bank, Mutual Trust Bank, Southeast Bank, and The UAE-Bangladesh Investment Company Limited (UBICO).