Karmasangsthan Bank to create 1,000 entrepreneurs a year
Thursday, 7 October 2010
Kamrun Nahar
Karmasangsthan (Employment) Bank will create 1,000 entrepreneurs a year through its own training programme as part of gearing up its activities in employment generation, a top executive of the Bank told the FE.
The entrepreneurs will be selected through a workshop titled 'Entrepreneur Development and Credit Management'.
"Primarily we will conduct a one-day workshop at 10 branches of the bank at divisional and regional headquarters -- Comilla, Faridpur and Mymensingh -- where there will be 100 participants in each workshop," said Nurul Huda Choudhury, managing director of Karmasangsthan Bank.
Talking to the FE he also said they had already started the selection process of the entrepreneurs by sending a survey schedule to all the branches of the bank.
"Hopefully we will start the workshop from November. Initially we will conduct two workshops a month," he said.
Nurul Huda said the bank has planned this kind of programme to efficiently disburse the loan among those who really need this as the selection will be made directly by the bank and there is thin chance of corruption or misuse of the fund.
The whole process will be transparent as 100 entrepreneurs will get loan at a time and there will be same recovery schedule for everyone, he said, adding "it will make the bank's activities more efficient, and ensure more accountability".
About the amount of loan the Karmasangsthan MD said they have a provision of providing loans to small entrepreneurs ranging from Tk 50 thousand to Tk five million.
"But we give a maximum of Tk one million to each entrepreneur considering his or her ability to use the money and the guarantor's profile," said Nurul Huda.
Karmasangsthan Bank authorities have decided to set up branches in upazilas to implement the government's pledge to take credit facilities to the doorsteps of rural people, he said.
A total of five branches have been launched within 45 days after the current MD took over two months back, against a target for 100 branches in the 2010-'11 FY while 160 branches are working at present.
"There is a target of setting up one branch in every upazila within next three years," said Nurul Huda.
"With opening of the branches, entrepreneurs will be able to maintain contact with the bank easily and therefore, the number of borrowers will increase. Also we are making the loan process and documentation easy," said Nurul Huda.
At present the bank is providing credit for fish cultivation, poultry farm, cattle raising, small trading and other employment generation activities which comply with laws of the land.
The bank will very soon introduce credit scheme for battery-run automobile for youths of those rural areas where gas is not available and also for fishery credit.
He also referred to the success story of the bank which had a disbursement target of Tk 2.20 billion in 2009-'10 FY and actually disbursed Tk 2.15 billion with a recovery target of Tk 1.66 billion.
In the FY 2010-'11 the bank has a target of disbursing a loan amount of Tk 3.30 billion.
Karmasangsthan Bank, established in 1998, provides loan for self employment generation of young male and female, unemployed or half-employed people under special small enterprise scheme at a yearly interest rate of 10 per cent.
Till date the bank has provided self employment to .2 million youths.
Karmasangsthan (Employment) Bank will create 1,000 entrepreneurs a year through its own training programme as part of gearing up its activities in employment generation, a top executive of the Bank told the FE.
The entrepreneurs will be selected through a workshop titled 'Entrepreneur Development and Credit Management'.
"Primarily we will conduct a one-day workshop at 10 branches of the bank at divisional and regional headquarters -- Comilla, Faridpur and Mymensingh -- where there will be 100 participants in each workshop," said Nurul Huda Choudhury, managing director of Karmasangsthan Bank.
Talking to the FE he also said they had already started the selection process of the entrepreneurs by sending a survey schedule to all the branches of the bank.
"Hopefully we will start the workshop from November. Initially we will conduct two workshops a month," he said.
Nurul Huda said the bank has planned this kind of programme to efficiently disburse the loan among those who really need this as the selection will be made directly by the bank and there is thin chance of corruption or misuse of the fund.
The whole process will be transparent as 100 entrepreneurs will get loan at a time and there will be same recovery schedule for everyone, he said, adding "it will make the bank's activities more efficient, and ensure more accountability".
About the amount of loan the Karmasangsthan MD said they have a provision of providing loans to small entrepreneurs ranging from Tk 50 thousand to Tk five million.
"But we give a maximum of Tk one million to each entrepreneur considering his or her ability to use the money and the guarantor's profile," said Nurul Huda.
Karmasangsthan Bank authorities have decided to set up branches in upazilas to implement the government's pledge to take credit facilities to the doorsteps of rural people, he said.
A total of five branches have been launched within 45 days after the current MD took over two months back, against a target for 100 branches in the 2010-'11 FY while 160 branches are working at present.
"There is a target of setting up one branch in every upazila within next three years," said Nurul Huda.
"With opening of the branches, entrepreneurs will be able to maintain contact with the bank easily and therefore, the number of borrowers will increase. Also we are making the loan process and documentation easy," said Nurul Huda.
At present the bank is providing credit for fish cultivation, poultry farm, cattle raising, small trading and other employment generation activities which comply with laws of the land.
The bank will very soon introduce credit scheme for battery-run automobile for youths of those rural areas where gas is not available and also for fishery credit.
He also referred to the success story of the bank which had a disbursement target of Tk 2.20 billion in 2009-'10 FY and actually disbursed Tk 2.15 billion with a recovery target of Tk 1.66 billion.
In the FY 2010-'11 the bank has a target of disbursing a loan amount of Tk 3.30 billion.
Karmasangsthan Bank, established in 1998, provides loan for self employment generation of young male and female, unemployed or half-employed people under special small enterprise scheme at a yearly interest rate of 10 per cent.
Till date the bank has provided self employment to .2 million youths.