For some time now, Banks and financial institutions of Bangladesh have been providing financial support to women entrepreneurs in small and medium enterprises (SME). The amount of loans given last year was higher than that of a year before. However, out of the total SME loans disbursed, proportion of loans received by women has declined.
According to latest information, in 2014 banks and financial institutions disbursed loans worth a little over Tk.1009.10 billions among 541,656 women entrepreneurs in the SME sector out of which 42 thousand 730 of them got a little under Tk.39.39 billions, which is 3.90 per cent of the total loans disbursed. During the previous year, 746,610 entrepreneurs in SME sector got loans worth Tk.850.32 billions, out of which the share of 41,719 women entrepreneurs stood at Tk.33.61 billions, which is 3.93 per cent of the total loans disbursed. That means women's share in total loans has gone fractionally down. But according to women's chamber sources, although women entrepreneurs gained in numbers, there had not been expected rise in the amount of loans disbursed to them. This had been so due to non-cooperation from banks and financial institutions, the sources say. In many cases, women entrepreneurs either do not get any loan or get less due lack of procedural knowledge necessitating the financial institutions to be more entrepreneur-friendly.
According to Bangladesh Bank report, the number of new entrepreneurs and amount of loan disbursed increased. In 2014, 43,000 women entrepreneurs received loans worth Tk. 45.0 billions. Number of entrepreneurs increased by 1011 and amount of loans went up by 17.5 per cent compared to the preceding year. In addition, 3,673 new entrepreneurs who were never sanctioned any loans before, got loans worth Tk.7.44 billions, while existing 3,336 women entrepreneurs got loans worth Tk.3.98 billions during last year.
Bangladesh Bank sources reveal that various initiatives are being taken to make the financing institutions more entrepreneur-friendly. A number of refinancing schemes are on to provide loans on easy terms and at less than 10.0 per cent rate of interest. Women entrepreneur desks have also been set up in all banks along side the central bank.
Women entrepreneurs have added strength to our otherwise short list of entrepreneurs and in order to enable them to contribute further to the process of industrial development, they should be provided the impetus to move ahead with their entrepreneurial potential. Over the years our women have been empowered socially and politically, and they have also made their mark in these areas. But there is a lot to be done to empower them economically. It is true that women entrepreneurs in our country are not yet prepared for large industrial enterprises, but they have proved their worth beyond doubt in respect of small and medium enterprises where financial support can be greatly enhanced to foster new investment.
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