First blockchain supply chain finance platform launched

IPDC Finance Limited launched on Thursday 'Orjon', the first blockchain-based supply chain finance platform in Bangladesh.

The purpose of the digital platform is providing "simple, fast and collateral-free financing" for the country's supply chain.

State Minister for Information and Communication Technology Division Zunaid Ahmed Palak was present as the chief guest at the grand inauguration ceremony of 'Orjon'.

As Bangladesh's first blockchain-based digital supply chain finance platform, '"Orjon" is a comprehensive supply chain financing solution that will provide financial facilities to corporate organisations, micro and small enterprises (MSEs) in one single chain through factoring, reverse factoring, work order, and distributor financing.

Under the 'Orjon' blockchain technology, the development of the digital supply chain platform will provide lending facilities to small enterprises in the country easily and at a low cost.

The goal of 'Orjon' is to create a holistic supply chain financing eco-system in the country and this is the first of its kind in Bangladesh.

Speaking as the chief guest, Junaid Ahmed Palak said this is a historic event for Digital Bangladesh.

He said the government wants to provide 90 per cent public services online.

The state minister said the government is stressing the need for developing human resource to support innovation and blockchain ecosystem.

DFID Country Representative Judith Herbertson said Bangladesh needs smarter workforce for continuation of present gross domestic product (GDP) growth rate.

She also said corporate blockchain technology will add value to the supply chain finance market and small businesses.

Paul Buren Hutchison, VP of Blockchain GIU, Asia Pacific, IBM Global Business Services, said this really opens up a new avenue of development for Bangladesh.

He said it is really difficult to introduce new technology even in a developed country.

DFID and IBM supported in the process of developing the Orjon platform.

Mominul Islam, MD, and CEO of IPDC Finance Limited, said this is a historic event for supply chain community, financial institutions, MSMEs.

He said IPDC is always working to create opportunities for small enterprises in Bangladesh.

In these areas, "we have come up with 'Orjon' platform for those involved with supply and distribution to further enhance the country's digital supply chain finance platform," he said.

He said the platform will provide easy and low-cost credit facilities and support to develop over 25,000 small enterprises and businesses over the next five years for the improved supply chain management.

"I am confident that better business environment, market expansion and more than 200,000 new jobs will be created with greater financial progress than ever before."

Shah Alam, Executive Director, Bangladesh Bank; and Syed Almas Kabir, President of BASIS (Bangladesh Association of Software and Information Services) also spoke as special guests.

Rizwan Dawood Shams, Deputy Managing Director and Head of Business Finance, and many other senior IPDC officials were present.

IPDC Finance Limited, the first private financial institution of Bangladesh, was established in 1981.

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